Poland's government has not plan to sell stakes in PKN Orlen, Lotos - treasury

WARSAW (Thomson Financial) - Poland's new government, which took power earlier this month, has no plans to sell stakes in the country's two oil companies PKN Orlen and Grupa Lotos due to concerns over energy security, treasury minister was quoted as saying in an interview for Gazeta Wyborcza newspaper.

Aleksander Grad told the daily the government will sell its remaining stake in the press distributor Ruch next year and float the country's national airline LOT. It also plans to complete the sale of Poland's power companies in next four years.

'When it comes to Lotos and Orlen the government plan doesn't foresee their further privatisation,' Grad was quoted as saying. 'Due to the energy security of the country I would be very cautious about disposing of stakes in these companies.'

The state controls 27.5 pct of PKN Orlen and 52 pct of Lotos. The previous conservative government planned to merge refiners in a bid to bolster their position against foreign oil majors.

Source: By Piotr Skolimowski (Thomson Financial)