US Lifts Sanctions From Czech Nuclear Firm After Acquisition From Russia's OMZ - Treasury

Umer Jamshaid Published May 12, 2023 | 11:14 PM

The United States removed Skoda JS, a Czech nuclear servicing and engineering company, from its sanctions list after it was fully acquired by Czech conglomerate CEZ Group from Russian heavy industry and manufacturing group OMZ in November, the US Office of Foreign Assets Control (OFAC) announced on Friday

WASHINGTON (UrduPoint News / Sputnik - 12th May, 2023) The United States removed Skoda JS, a Czech nuclear servicing and engineering company, from its sanctions list after it was fully acquired by Czech conglomerate CEZ Group from Russian heavy industry and manufacturing group OMZ in November, the US Office of Foreign Assets Control (OFAC) announced on Friday.

"The following deletion has been made to OFAC's Sectoral Sanctions Identifications List: SKODA JS A.S., Orlik 266, Plzen - mesto PSC 316 06, Plzen, Czech Republic; Executive Order 13662 Directive Determination - Subject to Directive 1; Secondary sanctions risk: Ukraine-/Russia-Related Sanctions Regulations," OFAC said.

Skoda JS became part of OMZ in 2004 and was indirectly owned by Gazprombank, which controls OMZ.

CEZ Group began acquiring Skoda JS from OMZ in March 2022 in light of Russia's special military operation in Ukraine and completed the process in late November.

Following the imposition of sanctions by the United States on Gazprombank in connection with the special operation in Ukraine, Skoda JS also fell under restrictions that could significantly affect deliveries of key supplies to Czech nuclear plants, operated by CEZ.

In March, a CEZ spokesman said that the Czech Republic intends to replace Russian nuclear fuel used at the Dukovany nuclear power plant (NPP) with the one produced and supplied by US company Westinghouse starting from 2024, following a similar decision with regard to the Temelin NPP.