Page 171 - RusRPTJan23

Rosseti (to be consolidated into FSK soon) will need Rb225bn additional investments for CapEx until 2026, Energy Ministry official said. This figure includes Rb170bn for energy infrastructure in the Far East, including Rb50bn outlays already in 2023. Additional investments a concern. We are specifically concerned about investments that carry no immediate return for the company. Previously, the management indicated that some amounts may flow through new share issues that may be held after the consolidation. Without a switch to a shareholder value paradigm (currently they prioritize other things), we fear FSK/Rosseti will overinvest.
Inter RAO revenues, EBITDA and net profits for 9M22 have shown substantial growth y/y, CEO Boris Kovalchuk told journalists. The company has not released the exact numbers to check this. Inter RAO has not released its financials since the beginning of sanctions. Last time, it disclosed financials over a year ago – IFRS for 9M21. To remind, last year’s revenues were Rb851bn, EBITDA stood at Rb116bn and net profit was Rb77.4bn.
9.2.11 Mines and Minerals - gold & diamonds
Alrosa’s Sergey Ivanov will step down as head of Alrosa, RBC sources say. The decision of the top manager is connected with transition to a private business, according to RBC sources. To remind, Sergey Ivanov had been the head of the company since 2017. In March 2020, the Supervisory Board of Alrosa re-elected Ivanov to the position of Chairman of the Management Board for a period of five years, which means the current contract expires only in the spring of 2025.
Russian President Vladimir Putin has permitted sales of a 0.7% stake in diamond mining giant ALROSA and 0.1% in gold producer Polyus, according to a ruling published on Thursday.
The ruling says Putin allowed the sale of 50,923,110 ordinary shares of ALROSA and 129,736 ordinary shares of Polyus, but neither the buyers nor the sellers of the shares were disclosed.
The Russian government owns a 33.03% stake in ALROSA, the republic of Yakutia has 25% plus one share, districts of the republic own 8%, the free float is about 34%. The fund for support of Islamic companies owns 46.35% in Polyus, while a company of Donugol’s controlling shareholder Akhmet Palankoyev has 29.99%, the company’s management has 0.94%, the quasi-treasury stake is 0.47%, and the free float amounts to 22.25%.
Alrosa may pay additional RUB19bn (c$303mn) of MET in 1Q23, Interfax reported, citing MinFin representative Sergey RomaNovember The company could pay such an amount within temporary tax adjustment on diamonds in
171 RUSSIA Country Report January 2023 www.intellinews.com