The Drohobych saltworks, where salt has been produced for over 600 years, will once again be put up for privatization
The Drohobych Salt Works, which has preserved traditional salt production methods for over six centuries, may once again be privatized. The State Property Fund of Ukraine is once again preparing the enterprise for privatization.
The sale involves the 100% state-owned stake in Drohobych Salt Works LLC.
At this time, the State Property Fund has not announced a new auction date or the starting price for the enterprise.
Why the Previous Privatization Was Canceled
The previous privatization procedure for the Drohobych Salt Works was canceled on August 13. The reason was a change in the privatization authority.
Now, the sale of the enterprise will be handled by the Regional Branch of the State Property Fund in Lviv, Zakarpattia, and Volyn regions, rather than the central office of the State Property Fund.
The State Property Fund approved the relevant changes by order dated August 10. According to the document, 100% of the state’s stake in Drohobych Salt Works LLC is subject to privatization. The company’s authorized capital is 47.6 million UAH.
However, this amount is not the starting price for the upcoming auction. The State Property Fund must determine and publish the starting price separately, along with the terms of sale.
Management Supports Privatization
The management of the Drohobych Salt Works supports privatization and expects that the new owner will be able to attract investments for the company’s development. At the same time, they emphasize the need to conduct the sale transparently.
“As the director, I support privatization—it can bring new investments and growth to the enterprise. The main thing is that this process be carried out consistently, transparently, without backroom deals or haste that could be manipulated to serve someone’s interests,” wrote Oleg Petrenko.
About the Salt Works and Auctions
The Drohobych Saltworks has been operating for over 600 years and is one of the few enterprises in Europe where traditional salt-boiling technology has been preserved to this day. The company notes that it is profitable.
Previous attempts have been made to privatize the Drohobych Salt Works. In 2024, the State Property Fund planned to put the enterprise up for auction with a starting price of 57.6 million UAH. At the same time, the Drohobych City Council advocated for transferring the saltworks to municipal ownership.
In early 2025, the privatization process was suspended. Among the reasons cited was, in particular, the expected implementation of public-private partnership reforms, which were intended to create new opportunities for the development of state- and municipally-owned assets.
This was reported with reference to a statement by Oleg Petrenko, head of the state-owned enterprise “Drohobych Salt Plant.”
The State Property Fund has completed half of its annual privatization plan.
As a reminder, following Gmyrin, the National Anti-Corruption Bureau of Ukraine (NABU) exposed new participants in a money-laundering scheme at the State Property Fund.
Earlier, NABU and the Specialized Anti-Corruption Prosecutor’s Office (SAPO) referred to court the case of a former member of parliament whose actions caused millions in losses to the state. According to media reports, Andriy Hmyrin, a former advisor to the head of the State Property Fund of Ukraine, is also a defendant in this case; his relatives became millionaires very quickly.
