Alpha Bank eyeing Jetoil’s Thessaloniki storage facility

Alpha Bank, which is seeking to prevent troubled Jetoil from being granted bankruptcy protection, has set its sights on the company’s substantial petroleum product storage facilities in Thessaloniki’s Kalohori region.

Just over a week ago, Mamidoil Jetoil’s 84-year-old founder and president Kyriakos Mamidakis stunned the entrepreneurial world by committing suicide. Mamidoil Jetoil had filed for bankruptcy on June 9.

Alpha Bank has expressed doubts about the sustainability of Jetoil’s restructuring plan ahead of this Wednesday’s hearing of the case at a Piraeus court.

Alpha Bank has extended loans worth 62 million euros to Jetoil, a company whose bank loans, owed to various banks, totals approximately 190 million euros.

If Alpha Bank, along with other creditors, continues to oppose Jetoil’s request for bankruptcy protection at Wednesday’s court session, then the troubled petroleum company is expected to contend that a US fund, undisclosed, is prepared to provide 120 million euros to support Jetoil’s restructuring plan.

At the hearing, Mamidoil Jetoil SA’s administration will claim that the company’s induction into a restructuring program will enable it to negotiate with creditors for loan revisions that will lead to a path of sustainability.

Jetoil’s petroleum storage facilities in Thessaloniki’s Kalohori region represent 14 percent of the country’s total fuel storage capacity. Prior to the Greek crisis, now well into its sixth year, the facility handled two million cubic meters of fuel annually. A large amount of this concerned exports to the Balkans.

Through its venture Mamidoil – Albanian SA, the company also owns storage facilities with a 12,000 cubic-meter capacity in Durres, Albania’s biggest port, an 18,000 cubic meter capacity facility in Kosovo (Standardplin Sh.p.k.),and is also active in the Serbian and Bulgarian markets.