Bulgaria's Erato Hldg Seeks Strategic Partner for 25 Mln Euro Heating Project
Bulgarian heating equipment producer Erato Holding is looking for a strategic partner for a project for an integrated solution for utilisation of biomass for heating worth up to 25 million euro ($39.8 million), it said on Tuesday.
Erato Holding aims to provide both boilers and fuel for residential and public heating installations and a strategic partner would help it do the job within a year instead of three to four years, the company’s executive director, Krassimir Stanchev, told SeeNews. The group will be able to introduce serial production of up to 3,000 biomass-fueled biolers and secure fuel for them, he added.
Erato has so far financed its investments with its own funds. In 2006, it issued a five-year 4.5 million euro bond to back its projects.
European Union newcomer Bulgaria, which has to secure 16% of its electricity needs from renewable sources by 2020, has the potential to produce almost all that energy from biomass, energy experts say.
Erato has 13 subsidiaries. In 1997 it started the production of electric and pyrolysis boilers. The production of pellet burners, pellet stoves and boilers started in 2004.
The group has already set up two production lines for pellets, in the towns of Haskovo and Stara Zagora, both in southern Bulgaria, and has two factories for wooden chips. Stanchev said in 2007 that the group plans to open at least three new units for pellets and wooden chips in the short term.
Erato Holding also has a woodworking factory, a transport firm, a large distribution network and a leasing unit.