BONI MEAT PRODUCTION

Promoter – Financial Intermediary

BONI HOLDING AD

Location

• Bulgaria

Description

The project proposal consists of financing: (i) a greenfield pig rearing facility, (ii) the refurbishment of another pig rearing facility, (iii) the refurbishment of a pig slaughterhouse, (iv) a greenfield rendering facility, (v) two grain silos and (vi) solar panels.

Objectives

The project aims to introduce best available process and automation technology to the company, which will allow substantial improvements in its energy consumption, as well as increase its production capacity and efficiency. The project will also create new employment and help secure existing employment in rural areas of Bulgaria and, therefore, contribute to the economy in a less developed region of EU.

Sector(s)

• Agriculture, fisheries, forestry - Agriculture, forestry and fishing
• Industry - Manufacturing
• Energy - Electricity, gas, steam and air conditioning supply

Proposed EIB finance (Approximate amount)

EUR 30 million

Total cost (Approximate amount)

EUR 61 million

Environmental aspects

Part of the project's investments fall under Annex I and II of Environmental Impact Assessment (EIA) Directive 2011/92/EU. The EIA procedure for the refurbishment of the pig rearing was completed according to Bulgarian/EU regulatory provisions and the required integrated environmental permit was issued. For the greenfield pig rearing, the bank is expecting to receive the EIA decision, the building and the integrated environmental permits. The refurbishment of the pig slaughterhouse falls under Annex II of the EIA Directive 2014/52/EU (amending 2011/92/EU). No EIA is required as the competent authority issued a screen-out decision (??-29-??/2019). According to this decision, the activity does not fall under the IED Directives (2010/75 EU). As the site will be slightly extended, the Promoter did receive a building permit on 1 October 2019 (PC-01-68). The construction of a new rendering facility in Lovech falls under Annex II of the EIA Directive 2014/52/EU (amending 2011/92/EU) and will be subject to a determination (screening) made by the competent authority to determine whether an EIA is required or not. The Bank is, therefore, expecting to receive the screen-out decision or the EIA report before the start of the project. For the grain silos and renewable energy, these investments would fall neither under the provisions of Annex I and II of the EIA Directives (nor their transposition into member state law), nor the IED (2010/75 EU). The Promoter applies strict animal welfare, hygiene and safety protocols that meet official EU and Bulgarian standards.

Procurement

The Promoter has been assessed by the EIB as being a private company not subject to EU rules on public procurement or concessions.

Status

Signed - 11/12/2020