AB „GrigiÅ¡kÄ—s“ plans to invest 19 mln. litas into bio fuel steam boiler instalation

Grigiskes AB / 

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AB “Grigišk?s“  is going to implement  the Project „The modernisation of
the
heat sector through the greater use of renewable energy resources“ in
order to
increase competitiveness of production and the use of waiste of the
manufacturing process for the production of energy. 
During the implementation of the Project the new steam-boiler with the
heating
power of 15-18 MW using biofuel is intended to be installed. The heat
produced
by the new steam-boiler will replace the heat produced by the existing
natural
gas steam-boilers. It is planned that the new biofuel steam-boiler will
produce
about 55 percent of heat (in the form of steam) needed for the
technological
processes in the company. 
According to the general director Gintautas Pangonis, after the project is
finished the company will reduce the risks based on natural gas prices
increase. In year 2008 the company‘s loss was caused by natural gas prices
increase up to 2.5 times. Almost a half of needed bio fuel for the new
steam
boiler will be accumulated after the production process, other part will
be
purchased 
In 2008 AB „Grigišk?s“  had provided Lithuanian Business support Agency
with an
application in order to receive financial assistance for the
implementation of
the Project. 
The support of up to 9 445 284 litas from the European Structural Funds
and the
budget of Lithuanian Republic  for the implementation of the Project was
granted  by the order No. 4-346 of the minister of economy of the Republic
of
Lithuania enacted on the 10 th of July, 2009. The total value of the
Project is
about 19,1 million Lt. 

Gintautas Pangonis
General Director
(+370-5) 243 58 01

News Source: NASDAQ OMX

17.07.2009  Financial News transmitted by DGAP
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Language:     English
Issuer:       Grigiskes AB
              
               
              Lithuania
Phone:        
Fax:          
E-mail:       
Internet:     
ISIN:         LT0000102030
WKN:          
 
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