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Saxony-Anhalt Orders Minimal Operation at Domo’s Leuna Plants on Safety Grounds

The temporary mandate buys time to seek a new operator.

Overview

  • The insolvency administrator says winter conditions prevent a safe shutdown, so the state invoked hazard prevention to keep the site running in reduced mode.
  • After creditors refused interim financing despite talks convened by Economics Minister Sven Schulze, the state issued the order to continue operations.
  • Production now continues in minimal mode at Leuna to avoid risks to people and the environment, with Premnitz also allowed to operate.
  • Employee pay will be pre-financed through insolvency funds, with wages reportedly secured until about the end of March.
  • Saxony-Anhalt is funding the minimal operation as an Ersatzvornahme and intends to recoup the money once an investor or new operator is in place.