Ukrainian Kernel and Polish Orlen signed a Memorandum of Strategic Cooperation

Kernel Agroholding has signed a memorandum with Orlen, one of the largest oil refining, gas production and energy concerns in Europe.

As reported by Kernel, the agroholding has been successfully cooperating with Orlen in the field of mineral fertilizers and fuel supply for several years.

The new format of cooperation will allow the companies to develop strategic aspects of interaction:

• increase the predictability and stability of procurement processes;

• balance the contract portfolio using formula pricing mechanisms;

• ensure long-term business stability in conditions of high volatility in raw material markets;

• strengthen the reliability of logistics chains and planning of agricultural production cycles;

• explore potential business opportunities in the direction of alternative energy sources and biofuels;

expand cooperation on decarbonization and reduction of carbon emissions.

“We are confident that the signing of the memorandum will be another important step in building a stable partnership that will contribute to the development of our companies, increase energy security and sustainable economic growth,” commented Kernel’s Deputy Director of Agribusiness for Procurement and Commercial Activities Ihor Stelmashchuk.

 Earlier, USM reported that Kernel increased its profit by 42% and reduced its debt by half.