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17
February
2023

Ukrzaliznytsia declares its rights to Adabaske granite deposit, to appeal against its sale

KYIV. Feb 17 (Interfax-Ukraine) – JSC Ukrzaliznytsia has declared its rights to a granite quarry at the Perlovske (Adabaske) deposit located in Novoukrainka district of Kirovohrad region, a special permit for the development of which was sold on February 7 by the State Service of Geology and Subsoil at the auction of the Ukrainian Universal Exchange.

“Through an illegal auction, they want to grant the right to mine minerals at the Perlovske (Adabaske) field to a private company. The indicated quarry, as well as the land plot on which it is located belong to Ukrzaliznytsia,” the company said.

Since the beginning of December last year, the special permit has been put up for auction twice by ProZorro.Sale: first at a starting price of UAH 7.438 million, then at UAH 5.579 million, but both times due to the presence of only one buyer – Transbud Mechanization and Transport Administration LLC (Odesa) – to no avail.

However, on February 7, the special permit was sold for UAH 3.83 million at a starting price of UAH 3.71 million to Transbud, which originally offered UAH 7.6 million for it in December, since Flot UA LLC took part in the auction. The winner has time to decide on the buyout from February 15 to August 14, 2023.

Ukrzaliznytsia claims that the auction was held in gross violation of the Subsoil Code, since “the Adabaske deposit is located on a land plot to which Ukrzaliznytsia has the right to permanent use.”

“The decision to alienate (the land plot) can only be made by the supervisory board of the company. Such a decision has not been made,” the railway operator said.

Also, the local village council did not provide preliminary approval for a special permit, the operator added.