Following the merger between RTB Bor and the four dependent companies that operate under it, the mining giant will become a single, consolidated company.
The decision on the status change was made by the Company’s Assembly, as this step is devised in the Pre-arranged Reorganization Plan (UPPR). All current employees of RTB will keep their jobs. The government says that the company’s consolidation is a step closer to finding a strategic partner that will be done via a public tender.
Copper Mines ‘Bor’ and ‘Majdanpek’, smelter and refining facilities are now merged with the parent company – Mining and Smelting Basin (RTB). They share the same assets, will have one consolidated bank and expect this to result in significant savings.
Since the beginning of the year, RTB Bor has increased production by eight percent, and exports more than a third compared to the same period last year.
“The reorganization and the UPPR have done a lot for RTB, resolved the problems from the past, and made the entire functioning of the company more relaxed”, says the State Secretary in the Ministry of Economy, Dragan Stevanovic.
Minister of Energy, Aleksandar Antic adds that, on top of the said measures, the higher global copper price has helped with the recovery of RTB Bor. “As such, the company has become more appealing to global mining companies”, Antic explains.
The government has been preparing the tender documentation and hopes to get serious offers from interested investors. The government has been talking to several potential strategic partners from China, Russia and Canada on a daily basis.
“We need a company that will accept a strategic partnership, carry out the recapitalization worth over $ 300 million, that will invest in the mining sector, will ensure that RTB will be stable in the long run, and will increase the value of RTB and its impact on our the overall economy”, the energy minister adds.
Dragan Stevanovic points out that the state authorities want to keep the same number of workers in RTB, and have nothing against the company employing even more workers.
RTB’s advantage is that it has its own ore and raw materials. In the period from 2000 to 2010, there were two failed attempts to privatize RTB Bor.
This post is also available in: Italiano