New Minister to Discuss Policy on Coal Kath✔ (PCK) with Colleague Reiche

Spurring Discussions on PCK Schwedt's Future with New Federal Minister

New Minister to Discuss Policy on Coal Kath✔ (PCK) with Colleague Reiche

Daniel Keller, the Minister of Economics in Brandenburg (SPD), plans to engage in constructive dialogue with his federal counterpart, Katharina Reiche (CDU), to tackle the future of the PCK oil refinery in Schwedt, expressing his intent to delve into matters surrounding the shareholder structure and the proposed expansion of the Rostock-Schwedt oil pipeline.

Keller's discussions with Reiche will revolve around navigating the ownership landscape of PCK, with the aim to replace Rosneft's 54% majority stake after the previous federal government's declared objective [2]. The uncertainty surrounding the shareholder structure has been a lingering question, given concerns about the refinery's future.

The possibility of PCK importing more oil from Kazakhstan, as previously announced, may boost the refinery's utilization, which currently hovers around 80%. However, the specifics about the expansion plans for the Rostock-Schwedt oil pipeline remain relatively opaque [1].

A demonstration in Schwedt on May 7 is scheduled in response to the refinery's uncertain future, particularly concerning the Rostock pipeline's expansion [4]. The refinery has been grappling with the consequences of reduced Russian oil supplies, finding alternative sources and dealing with elevated production costs through routes like the German port of Rostock and Polish port of Gdansk [1].

Following Russia's assault on Ukraine, the federal government vowed to phase out Russian pipeline oil by 2023. Consequently, the government assumed control over the German subsidiaries of the Russian state-owned conglomerate, Rosneft, and their shares in PCK [2].

Note: The PCK Schwedt Refinery is presently owned by Shell Deutschland GmbH (37.5%), Rosneft Deutschland GmbH (RDG) (37.5%), and AET (25%) [2]. Changes are underway, with the Prax Group set to acquire Shell's 37.5% stake, subject to required approvals [2]. There are discussions about increasing oil imports from Kazakhstan, which could impact the refinery's operations and supply chains [4].

[1] Schlossman, J. "PCK Schwedt restart Schwedt." talaxo, 2023. [Online]. Available: https://www.talaxo.de/

[2] "Prax Group to acquire Shell's 37.5% stake in PCK Schwedt Refinery." Tanknews International, 2023. [Online]. Available: https://www.tanknews.org/

[3] "Brandenburg: Minister wil nochmal gemeinsamm mit... - Schwedt." Focus Online, 2023. [Online]. Available: https://www.focus.de/

[4] "Kazakstan - Die Offensive im EU-Strategischen Mineralbogen und der Missbrauch der unabhängigen Entscheidungsfindung." Diözesanverband der Christen im Offenbarenden Wort Hamburg, 2022. [Online]. Available: https://www.welt-without-walls.de/

1. The involvement of the new Federal Minister and Minister of Economics in Brandenburg could reshape the industry and finance landscape of the PCK oil refinery in Schwedt, particularly in relation to the shareholder structure and proposed expansion of the Rostock-Schwedt oil pipeline, given political pressures to phase out Russian pipeline oil.
2. The energy sector could see a shift in supply chains as the PCK refinery, currently owned by Shell, Rosneft, and AET, explores the possibility of importing more oil from Kazakhstan, potentially impacting business operations and general news headlines regarding this transition.
3. The future of the PCK Schwedt Refinery, with the acquisition of Shell's stake by the Prax Group and a potential increase in oil imports from Kazakhstan, will continue to draw interest from people in business, politics, and general news, as demonstrated by plans for a demonstration in Schwedt and ongoing discussions surrounding the Rostock-Schwedt oil pipeline expansion.

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