Swedish speciality products refiner Nynas has been released from US sanctions following a reorganisation that has cut Venezuelan state-owned PdV's stake in the firm.
PdV has reduced its shareholding in Nynas to 15pc from 50.1pc. The divested stake is now controlled by an independent Swedish foundation. Finland's Neste owns the balance.
Nynas first came under US sanctions in August 2017, and it was later prevented from bringing in the Venezuelan heavy crude it often uses in its refineries. The firm began a reorganisation in December, after it was unable to repay debts.
"This means an end to many years of having to carry the unfair burden for a Swedish company of being subject to US sanctions. This led to an increasingly deteriorating financial situation, which ultimately forced Nynas into reorganisation at the end of last year," said Nynas president Bo Askvik. "Our focus now is to successfully end the ongoing reorganisation process and having exited sanctions, Nynas will be able to return to normal trading conditions and secure long-term financing."
Nynas operates four refineries in Europe, at Nynashamn and Gothenburg in Sweden and Harburg in Germany. It also operates the Eastham refinery in the UK in a joint venture with Shell. The refiner produces base oils, bitumen, process oils, transformer oils and tyre and rubber oils.
Nynas has agreed to an ongoing reporting requirement with US Treasury Department's Office of Foreign Assets Control (OFAC) regarding any future changes to its shareholders and board for as long as PdV is designated under US sanctions.
