METKA to revise strategy and focus on RES sector, group chief informs

METKA, a Mytilineos group subsidiary providing a complete range of Engineering-Procurement-Construction (EPC) services for energy and infrastructure projects, will implement a new development model for the group’s construction division, to focus on the RES sector, Evangelos Mytilineos, the group’s chief executive, told analysts during an annual briefing held this week.

EPC projects that have propelled METKA over the past few years are ending, which has prompted the need for the corporate group’s construction division to revise its operational strategy and redirect activities, the CEO explained.

The new METKA growth model to be applied will focus equally on contracting and development of new projects, Mytilineos noted, describing the approach as a more efficient model promising better results for the company.

The chief executine noted that METKA sees major opportunities and growth prospects in the RES sector, especially its wind and solar energy sub-sectors. METKA has already developed a formidable RES portolio in Greece and abroad through a joint venture with EGN.

METKA EGN aims to establish a large-scale solar projects portfolio through an ongoing cycle of sales and development of projects, the objective being to achieve compounding growth. This approach, applied successfully by major international firms, has the potential to double METKA’s revenues, company officials believe. METKA EGN could be brought closer to METKA as part of the effort.

Commenting on the possibility of a second production unit at group subisidiary Aluminium of Greece, an investment worth 400 million US dollars, Mytilineos told analysts that a final investment decision would depend on forecasts as well as incentives to be offered by a new investment law for industry. This investment would need to achieve an Internal Rate of Return (IRR) of 17 percent to ensure its sustainability, according to the company.