Romania Econ Min Says Pitcoal Miner CNH Won’t Shut Down

Videanu met with CNH officials to discuss the company’s situation.

„The conclusion is that premises are met for CNH to function, but it has to be efficient and it also requires measures to provide social support in the area,” Videanu said.

The ministry, majority owner in the pitcoal miner, plans to divide the company and include part of it in one of the two future national power holdings.

In addition, CNH will cut 1,600 staff as of April 1 as part of its restructuring and upgrade program.

However, Videanu said the restructured company would hire new personnel in the coming period. CNH will also attract investments of approximately EUR80 million in the next three to four year, he added.

„The new energy company has a reliable investment program… I am talking about developing a new unit with a capacity of 180 MW in Paroseni,” Videanu said.

CNH is one of the state-run companies that receive subsidies, because of the difficult situation it faces. The company has been placed under monitoring at the request of the International Monetary Fund, due to its huge debt to the state.