Tigran Avinyan to Become Director of Zangezur Copper-Molybdenum Plant? "Hraparak"

"Hraparak" reports: "After the German company "Kronimet" was ousted from the list of shareholders of the Zangezur Copper-Molybdenum Combine (ZCMC) by surrendering its stake to the Russian-controlled company, the industrial subsidiary of "Geopromining," the position of the chief director of the combine is vacant. The most likely candidate until Sunday was the name of Tigran Avinyan, a member of the ruling Civil Contract party and former Deputy Prime Minister. He had taken on the role of coordinator for Syunik during the local elections and was present at the pre-election meetings of Civil Contract candidates and local residents. However, after the humiliating defeats of the Civil Contract in Goris and Meghri, it seems that Avinyan's candidacy has come under doubt, and it is possible that the position of director of ZCMC will be offered to another member of Civil Contract, according to our source close to ZCMC.

What’s particularly interesting is why the Armenian government should appoint the director of the combine. After all, it owns only 15 percent of the shares, and the same industrial company, which has given 25 percent of its 60 percent stake to Armenia, holds a larger share from the state at 35 percent. This is where the crux of the matter lies. It appears that the industrial company has also agreed with the government regarding the director's appointment. In addition to becoming a 15 percent shareholder in ZCMC, the industrial company has granted Prime Minister Nikol Pashinyan the right to appoint the director. The government has assisted it in becoming the holder of 60 percent on the condition that Avinyan must resolve political issues, aiming to remove the region from the shadow of former officials. It cannot be ruled out that there are also political arrangements with the Russian side that have not been disclosed.

In this case, the transaction, which is officially presented as a donation or charity from the Russian company, becomes more understandable. Otherwise, why would any businessman donate shares of mining operations to the state? The next question is whether the state is truly the owner of this 15 percent stake or if it is a group of people currently holding high state positions. Nothing prevents them from selling ZCMC shares to one of their close business associates at a splendid moment. We can conclude that a redistribution of ownership is taking place, resulting in a replacement of the old business elite that was under the former officials with a new business elite.

PS: Neither Tigran Avinyan nor the Prime Minister's press secretary Mane Gevorgyan responded to our phone calls. Incidentally, the Prime Minister's spokesperson has become the most inaccessible employee of the Armenian government. More details can be found in today’s edition of the newspaper.