The State Property Fund assessed the risks of "Firtash's debt" before the privatization of OPZ
The State Property Fund of Ukraine released a legal opinion on the long-standing debt claims of Dmytro Firtash's company Ostchem against Odesa Port Plant (OPZ). According to lawyers' assessment, these obligations do not pose a significant threat to the future owner of the enterprise, which is planned to be put up for privatization auction on October 19.
The State Property Fund's press service reported this on October 15. The legal analysis was prepared by the law firm Arzinger within the international project EU4State Asset Reform (EU4SAR), implemented with the support of Expertise France.
It concerns debt that arose under natural gas supply contracts back in the 2010s. In 2016, the Stockholm arbitration ruled in favor of Ostchem, but its enforcement in Ukraine faced judicial restrictions.
According to the lawyers' conclusion, the winner of the privatization auction is not obliged to repay OPZ's debt to Ostchem with its own funds. The enterprise and its future shareholder are separate legal entities, so claims against the plant do not automatically mean liability for the buyer.
In addition, legislation provides for exemption of the auction winner from the obligation to repay debts to persons subject to sanctions.
The SPFU also emphasized that the Supreme Court previously finally refused to enforce Ostchem's arbitration awards in Ukraine, recognizing such enforcement as incompatible with the state's public order.
An additional obstacle to payments is personal sanctions against Dmytro Firtash and persons associated with him.
The legal opinion separately considered the possibility of debt collection through foreign courts. According to the State Property Fund, OPZ has no assets abroad - bank accounts, real estate or corporate shares on which the creditor could levy execution.
Lawyers also draw attention to the time limits within which recognition and enforcement of arbitration awards can be sought in other countries. They depend on the specific jurisdiction.
Another factor is the Supreme Court's established connection of the debt claims with Russian Gazprombank. In Ukraine, government resolution No. 187 is in effect, which restricts payments in favor of persons associated with the aggressor state.
At the same time, Ostchem initiated a separate international investment arbitration against Ukraine under the Energy Charter. As explained by the SPFU, the respondent in this proceeding is the state of Ukraine, not Odesa Port Plant or its potential buyer.
Based on the totality of these circumstances, Arzinger's lawyers assess the risks for the future owner of OPZ as low. At the same time, the published opinion does not mean the cancellation of the debt itself or the cessation of all international court disputes.
The full legal analysis is available to potential investors in the virtual data room on the "Privatization in Ukraine" website.
The privatization auction for the sale of Odesa Port Plant is scheduled for October 19, 2026. The publication of the legal opinion is intended to help auction participants assess the risks of acquiring the enterprise.
Source: State Property Fund of Ukraine