The freight volume processed by Port Varna, one of Bulgaria's two major Black Sea ports, grew by 12% in 2010, year-on-year. According to data announced by Danail Papazov, CEO of Port Varna, the port handled a total of 8 million metric tons of goods and cargoes in 2010; in 2009, it processed only 6.7 million metric tons of goods. It completed 2010 with a net profit of BGN 4 M, almost triple the 2009 profit. Papazov emphasized the fact that Port Varna invested BGN 3 M in its facilities in 2010, and plans to invested another BGN 3-5 M in facilities and equipment in 2011. According to Papazov, the factories located in the town of Devnya – a major industrial area with chemical and cement plants located right off Port Varna-West – have returned to the amounts of freight they processed through the port before the economic crisis kicked in in 2008. A total of 1.5 metric tons of grain were exported through the Varna Port in 2010. Bulgaria's Port Varna is facing an increasing competition; for example, in the fall of 2009, Greece's Thessaloniki Port (with a total freight traffic of 14.4 metric tons in 2009) invited Bulgarian companies to use its facilities.
Source: investor.bg (05.01.2011)

Bulgaria to cancel loan agreement with Japan Bulgaria's government decided on Wednesday to launch talks to terminate a JPY 37 billion loan deal with the Japan Bank for International Cooperation. The country signed an agreement in 2008 to obtain funds for building container terminals at the Black Sea ports of Varna and Bourgas. Their construction, however, has not been started yet, which made the government drop the project. The move was also prompted by the fact that the port of Bourgas and state-owned company Port Infrastructure were facing difficulties in servicing another loan from the Japanese bank, worth JPY 4.3 billion. The finance was extended in 1998 for the construction of a bulk cargo terminal at the port, which was completed in 2010.
Source: Dnevnik (24.02.2011)

Bulgaria's state budget made almost BGN 16.8 M from the concessions of port and airport terminals in 2009, according to final reports of Bulgarian institutions, the government announced Wednesday. The final 2009 figures confirm earlier statistics; in February, the Bulgarian Transport Ministry revealed preliminary figures showing that the government got BGN 16.7 M from port and airport concessions in 2010, a slight decrease year-on-year. The facilities on concession in 2009 were the Lesport terminal, a part of the Black Sea Port Varna, leased in 2005 to Chimimport Holding, owned by the Varna-based group TIM; the Black Sea Port Balchik complex leased in 2005; the Danube River Silistra ferry terminal leased in 2006; the Danube River Svishtov Port leased in 2007; Varna Airport and Burgas Airport leased in 2006; the Danube River Port Oryahovo leased in 2007; the Danube River Port Somovit leased in 2009. The Danube River Port Vidin North was granted on concession only in 2010. The government has declared that a review of the contracts has made it clear the concessionaires are living up to their obligations tot he state; the total investments made in the ports amounted to BGN 4.6 M; the total investment in the airports in Varna and Burgas is BGN 19.9 M.
Source: Darik Radio (15.04.2011)

Not à single investor is interested in the concession of airports Gorna Oryahovitsa, Plovdiv and Rousse, as well as to the management of railway stations, Deputy Transport Minister Kamen Kichev admitted yesterday. "The only positive experience of government for infrastructure concessions is of Port Burgas, which is managed by the Navigation Maritime Bulgare (Navibulgar) JSC," he said.
Source: Sega (30.06.2011)

The Varna West port near Bulgaria's Black Sea capital has processed 1 065 000 metric tons of cargo in September 2011, according to official information from the Transport Ministry. This an absolute record breaker, beating the one from August, 2011 – 1 million tons. Since the beginning of the year, the port has processed over 6 665 600 tons, which is 12% more, compared to the same period of last year; 35% more compared to the first nine months of 2009, and 10%, more, compared to 2008. There is an increase in all main types of cargo – grain, containers, sodium, coal, fertilizers, cement, and scrap. The grain exporting campaign is assessed as extremely successful with 1 513 793 tons exported so far (12% increase), mainly to Spain, Portugal, the Netherlands, Belgium and Greece. There is also a 5% increase in the number of processed containers – 91 000 since the beginning of the year with a 21% increase in the number of full containers, which is another positive trend. The company expects that 2011 will be one of the most successful years ever with 8.5 million of processed cargo by its end of which 130 000 containers and a net profit of BGN 4 M.
Source: econ.bg (05.10.2011)

Oiltanking increases capacity of sulfuric acid export in Varna Oiltanking Bulgaria has put into operation a new system for loading of liquid products at Port Varna West. The investment amounts to EUR 100 thousand and is implemented by Oiltanking Bulgaria and Port Varna SPJSC. The funds were spent for construction of an additional station in their already existing facility at wharf ¹ 2 of Port Varna West. The construction works met all global and European safety and environmental protection standards. In 2010 Oiltanking Bulgaria processed only sulfuric acid produced by Aurubis Bulgaria. The company reported BGN 1.1 million profit, sales revenue of over BGN 4.3 million, according to a report of the company. In 2010 it received and unloaded 876 tons of sulfuric acid, which is 10.5 percent less than in 2009. The reason is in the suspension of production at Aurubis Bulgaria for technical reasons. The new investment is to ensure the smooth use of the facility for a long period of time and increase the capacity of loading and unloading. Oiltanking Bulgaria operates since 1999, when Germany-based Oiltanking GmbH, Aurubis Bulgaria and Port Varna established a joint stock company Oiltanking Bulgaria. The goal is the construction and operation of a terminal for storage of sulfuric acid within Port Varna West. The terminal has a capacity of 33 thousand tons and was built in just 10 months, officially opened in the autumn of 2001. The investment was BGN 13 million, and funds were provided by Oiltanking GmbH. Over 650 vessels with a total volume of nearly 5 million tons have been loaded since commissioning of the facility until now. The terminal is vital for Aurubis Bulgaria, which last year reported sales of BGN 3.2 billion and ranked second after Lukoil. Sulphuric acid is a waste product of the copper company in Pirdop and its implementation on the market can be a problem. So Aurubis Bulgaria JSC took part in the privatization of Agropolychim JSC to secure supply of the waste product. The price of sulfuric acid is BGN 67 per ton in the first half of 2011. Currently, shareholders of Oiltanking Bulgaria JSC are Oiltanking GmbH (Germany) and Port Varna SPJSC.
Source: investor.bg (12.10.2011)

State ports register 7.4% growth in profits Bulgarian ports have registered an increase of sales revenue by 7.4% on an annual basis up to BGN 41.1 mln for the first half of 2011, posted Investor.bg. The data was based on the financial reports of the ports of Varna, Burgas, Ruse, Lom and Vidin. A positive growth was also registered compared to the first half of 2009, when the realised sales amounted to some BGN 40.25 mln.. Statistics indicate a stir up of economic activities in the first half of 2011. For this period, the profit volume of ports reached BGN 2.25 mln, which is a 1% increase on an annual basis. For the first half of 2009, ports registered a loss of BGN 1.6 mln due to the negative financial result of Port of Burgas (minus BGN 3.2 mln). The profits of the Port of Burgas excluded the effect of changes in foreign exchange rates, which is substantial because of the major Port’s liabilities in Japanese Yen (for over BGN 50 mln). For the first half of 2011, the Port of Varna handled some 3.75 mln tonnes of cargo. Compared with the corresponding period of the previous year, more than 516,000 tonnes of cargo were treated, thus registering an increase of 16%. Nevertheless, the sales of the largest Bulgarian port declined by 2,9% on an annual basis to BGN 22 mln. The main clients of the Port of Varna are Solvay - Sodi JSC which generated revenues of BGN 2.4 mln for the first half-year as well as Nitropolichim SPJSC - Devnia (export of fertilisers from Agropolichim), which accumulated proceeds of BGN 1.75 mln as well as the sales of Devnya Cement JSC for BGN 290,000. For the first six months of 2011, the Port Complex Ruse J.S.Co. handled overall 468,000 tonnes of goods, thus marking an increase of 83,000 tonnes compared to the same period of 2010, or growth of 22%. There was mainly exports of coal (179,000 tonnes), cereals, coke (38,000 tonnes) and others via the Port, while the volume of grain exports doubled on an annual basis and reached 11,000 tonnes. During the first half of 2011, over 30,000 tonnes of timber were exported to Austria, while the timber treatment at the Port was launched in the second half of the year.
Source: Class (13.10.2011)

A Korean company is considering investment opportunities for the production of electric cars in Bulgaria's Black Sea city of Varna, South Korea's Ambassador Chun Bi-ho announced. His Excellency was in Varna Wednesday together with representatives of the Korean Trade Investment Agency (KOTRA). He explained that the undisclosed Korean firm in question first intends to assemble electric cars in Varna, and would them potentially go for manufacturing their parts their as well. Chun did not reveal more details about the potential investment in electric cars but announced that Korean firms are involved in talks for potential participation in the concessions of Port Varna, one of the two major Bulgarian Black Sea ports.
Source: econ.bg (03.11.2011)

Ports of Hamburg, Antwerp, Rotterdam and Dubai have serious intentions to take port Varna on a concession said the CEO of the company Captain Daniel Papazov. The port is included in the national strategy for concessions and according to Papazov concession is the only legal way for attraction of fresh capital from private companies. Experts say this is the way Varna to become a worthy competitor to other ports in the Black Sea region, including the modern Romanian port of Constanta. Some of the investors consider their bids in consortium with Bulgarian companies, revealed the head of the port, without saying names. The concession can not start in the spring because there are many accumulated problems to solve. The most important thing is to make a good analysis of concession and only then to proceed to the procedure. Papazov added that the concession of port Varna could become a reality at the end of 2013
Source: Monitor (11.11.2011)