Courtesy of Grupa Lotos

As the Treasury Ministry considers selling its stake in oil refiner Grupa Lotos, analysts point out that its likely buyers are firms also controlled by the state. Parkiet reports that the Treasury is looking to sell between 33 and 53 percent of its stake in Poland's second-largest oil producer.

Waldemar Pawlak, head of the Polish Peoples’ Party (PSL), the junior partner in Poland’s coalition government, is opposed to Warsaw relinquishing control over Lotos and the compromise that's emerging could see control over the oil concern remain with the government.

Analysts speculate that the state might be more inclined to finalize the sale if gas player PGNiG, oil concern PKN Orlen, or another state-controlled firm expresses interest in the purchase. Interest from private investors isn't expected to spark as much excitement.

Orlen president Jacek Krawiec has been treading cautiously when speaking with the media, pointing out the presence of a government program ruling the energy sector that calls for at least two independent oil refiners, namely Orlen and Lotos. PGNiG boss Michał Szubski says he needs to see a cost-benefit analysis of any potential purchase before committing.

One thing is certain: both PGNiG and Orlen could afford to buy a 53 percent stake in Lotos, which has an estimated market value of zł.2.14 billion.

Source: Poland AM