SUPPORTING ENERGY SECURITY: OKKO AND EBRD SIGN €60 MILLION LOAN AGREEMENT FOR CONSTRUCTION OF BIOFUEL PLANT

On June 12th, OKKO and the European Bank for Reconstruction and Development (EBRD) signed a €60 million loan agreement at the Ukraine Recovery Conference in Berlin. The loan is aimed to be used to build a new bioethanol plant in Ukraine.

"We started working on the concept of bioethanol production together with international experts several years ago. We plan to build in two years a plant with an annual capacity of 83 thousand tons in Ternopil region. With the new production facility, we will be able to cover both our own bioethanol needs and sell it on the foreign and domestic markets. We are grateful to our partner EBRD for the support and trust over the years, as well as for contributing to Ukraine's energy security and decarbonization of the sector by creating a domestic source of bioethanol supply,"COMMENTED VASYL DANYLIAK, CEO OF OKKO GROUP.

The biofuel produced at the new plant will meet the requirements of the EU Renewable Energy Directive (RED III).

The loan is accompanied by a financial guarantee from the European Union, which is provided under the investment component of the Ukraine Facility (Pillar II).

The EU guarantee is part of the new Ukraine Investment Framework program, which was signed on June 12 at the Ukraine Recovery Conference. The program provides support for new and existing climate technologies in line with a detailed EU Plan for Ukraine, particularly in the energy sector.