Construction of a new public road

On 14 March Ukrainian companies of Corteva Agriscience, an agricultural division of DowDuPont, and Poltava Regional State Administration announced signing a cooperation memorandum among them to develop the road infrastructure in Dykanka district at location of the company's production facility.

According to the memorandum, Pioneer Nasinnia Ukraine LLC and Stasi Nasinnia LLC agree to help the local community of Stasi village and invest in construction of a new public road to change the trucks traffic to and from the seeds production facility without influencing the rural area.

The investor is ready to allocate around USD 1 mln during 2018 to the project. The Poltava Regional State Administration will be responsible for building and further maintenance of the new road.

Vasil Kisil & Partners have been supporting the construction of the production facility for corn and sunflower seeds branded by Pioneer® trademark since the investor's first steps to include land allotment, obtaining permits and approvals, execution of construction agreements, commissioning certain construction stages, etc. The Firm's lawyers also support day-to-day business operations of DowDuPont Ukrainian companies related to production and sale of seeds and other matters.

Alexander Borodkin, Partner, the head of Real Estate & Construction practice group, said, "An issue of constructing a separate road to the production facility has long since become necessary. Yet from the very outset of the construction, there was an arrangement with the local community of Stasi Village. However, the village community has no sufficient authority to allot the land plot, rezone it, elaborate and approve the project design, obtain the permits, commission and maintain the road, etc. Therefore, the issue has been raised to the level of regional authorities. We helped to work through its legal aspects in sufficient details, so that specialists of the Regional State Administration and the Regional Department of the State Service of Ukraine for Geodesy, Cartography and Cadastre believed that the project was feasible and agreed to assist the investor".

The production facility of Stasi Nasinnia LLC has been operating since 2013. DuPont Pioneer, a legal predecessor of DowDuPont, invested USD 56 mln in the construction. The production facility makes top-grade corn and sunflower seeds branded by Pioneer® trademark for Ukrainian agricultural producers. The company employs about 60 staff employees and more than 200 contract workers and seasonal employees. It enjoys the status of the largest taxpayer in the region. The company actively supports the local community by offering corporate social responsibility programs and has already invested more than UAH 2 mln in the village development having allocated funds to improve healthcare, education and social life of Stasi villagers.