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Georgia's billionaire former prime minister Bidzina Ivanishvili.
The Georgian government has in recent years sought to diversify its power mix by incorporating renewable and clean energy sources in order to contain its dependence on imports of Azerbaijani gas. In addition to their contributions to mitigating climate change, these projects will also help Tbilisi manage its current account deficit, which has been on the rise and which is financed largely with foreign borrowing.
9.2 Major corporate news 9.2.1 Oil & gas corporate news
Block Energy, an oil and gas exploration and production company focused on Georgia, will list on the London Stock Exchange’s alternative investment market AIM on June 11.
The listing follows the transformation of the company last year; until April 2017 it was a gold and copper-focused exploration company with interests in projects primarily in Ghana and Mauritania, under the name Goldcrest Resources plc. However, in April 2017, it switched its focus to oil and gas projects in particular in Georgia, and also changed its name.
Block is seeking admission to trading on AIM in conjunction with a placing and subscription to raise £5mn, which will be used for its West Rustavi SPA and Norio SPA projects, the company said in a June 4 statement.
Admission and commencement of dealings in the company’s ordinary shares on AIM will take place on June 11.
It owns three oil and gas assets in Georgia’s Kartli Basin (also known as the Kura Basin), between the Black Sea and the Caspian. The business is “operating in a proven yet relatively under-developed hydrocarbon region, specifically the Kura basin which at its peak produced ~70,000 bopd from one single field in Georgia,” the company said.
Its assets include the Norio PSA, in which Block has a 100% working interest, and the Satskhenisi PSA, wth a 90% working interest. They are already producing albeit on a small scale. The company also holds a 5% interest in the West Rustavi PSA via its subsidiary GNV, with an option to increase it to 75%.
9.2.2 Transport corporate news
Georgia has denied two Syrian airlines access to its airspace in retaliation for Damascus recognising the statehood of two Georgian breakaway regions last month, a senior aviation official told Reuters on June 28. One of the airlines, Cham Wings, was revealed by a investigation conducted by the news agency in April to have transported Russian private military contractors to take part in the fighting in Syria.
"I can confirm that Georgia's airspace is closed for two Syrian air companies: Syrian Air and Cham Wings," Gocha Mezvrishvili, head of the ex-Soviet country's Air Navigation Service, was quoted as saying late on Tuesday.
"It will be closed for any Syrian air companies ... We made this decision after Syria recognised our occupied regions."
In May, Damascus joined Russia in recognising Georgian breakaway regions Abkhazia and South Ossetia as independent states.
Switzerland-based rolling stock manufacturer Stadler has signed an agreement to build a new factory in Georgia. A memorandum of
42 GEORGIA Country Report July 2018 www.intellinews.com