Kiev, Ukraine, August 22, 2006—The Ukranian government has permitted Kronospan Ukr Ltd. (Novovolynsk) to purchase the land on which the timber processing plant is situated, according to the Interfax News Agency. The area of the site is 43 hectares.
The European Bank for Reconstruction and Development (EBRD) is considering providing Kronospan Ukr with a EUR 60 million loan.
Kronospan Ukr is owned by Kronospan Holding East Limited, which is part of the Kronospan Group, a large producer of wood panels.
The plant can process up to 1 billion cubic meters of timber annually. The EBRD had financed projects worth a total of EUR 2.27 billion in Ukraine as of May 1, 2006.
