Odessa Port-Side Plant Privatization Called Off
The planned privatization of the Odessa Port-Side Plant was canceled in November 2025 due to a lack of registered bidders. Agro Gas Trading, a company that had confirmed its intent to participate in the auction, has alleged that artificial barriers were erected to prevent the competition from proceeding. A new privatization tender has been scheduled for 2026.
The official reason given for canceling the auction was the failure to register any participants. Oleksandr Horbunenko, a partner at Agro Gas Trading, disputed this explanation, calling it an unprofessional excuse. He stated that his company received three different versions of a draft agreement during the non-disclosure agreement stage but never received a signed copy in return. He also claimed there were communications about additional conditions not stipulated in the legislation or the tender documentation.
"Agro Gas Trading has always sought to comply with all requirements honestly and openly."
Oleksandr Horbunenko, partner at Agro Gas Trading
Horbunenko emphasized that whenever his company attempts to engage in transparent public dealings with the state, unclear situations and obstructive forces arise to thwart their intentions. Agro Gas Trading previously collaborated with the Odessa Port-Side Plant from 2019 to 2021 under a tolling agreement, during which nearly 2 million tons of urea and ammonia were produced.
Challenges in Attracting Investment
The cancellation of the plant's privatization highlights persistent challenges in attracting investment to Ukraine's strategic enterprises. The absence of bidders may point to a lack of trust in the privatization process's transparency, fueled by potential additional conditions and obstacles. This high-profile asset is a key industrial facility, and its successful sale is seen as a bellwether for Ukraine's broader economic reforms. The repeat tender in 2026 will serve as a test for the state's commitment to reforming and improving the country's investment climate.