Ad-hoc Report - Petrom consolidates sales and supply activities within Petrom Gas SRL
In compliance with Law no. 297/2004 and Regulation no. 1/2006 of CNVM
Date of report: January 28, 2010
Name of issuer: OMV PETROM S.A.
Headquarters: Bucharest, Calea Dorobantilor no. 239, sector 1
Telephone/fax number: +40 372 429 082/ +40 372 868518
Sole registration number at the Trade Register Office: 1590082
Fiscal attribute: R
Trade Register Number: J 40/8302/1997
Share capital: 5,664,410,833.5 RON
Regulated market on which the issued shares are traded: Bucharest Stock Exchange
Significant event to be reported:
Petrom consolidates sales and supply activities within Petrom Gas SRL
- Petrom Gas SRL is a 100% Petrom owned company
- Gas sales and supply activities to be concentrated in Petrom Gas SRL as of February 2010
- Gas division of Petrom to manage the gas metering activities (flow rate and calorific power), gas deliveries for Petrom’s internal use and underground gas storage activities
Petrom, the largest oil and gas producer in Southeastern Europe, has decided to consolidate the gas supply and sales activities within Petrom Gas SRL. Therefore, the sales activities within the gas division of Petrom will be integrated into Petrom Gas SRL.
Gerald Kappes, member of Petrom Executive Board, responsible for Gas, Power and Chemicals said: “We are operating in a dynamic market to which we need to adapt rapidly. The new structure of the gas business will bring visible benefits immediately: it will facilitate client relations – for which we will have a single interface, it will increase cost efficiency by creating synergies and will improve our response time to market demands.”
Petrom Gas SRL was fully taken over by Petrom at the beginning of 2005. Currently, both the gas division of Petrom as well as Petrom Gas SRL are running gas sales activities. Starting February 1st, 2010, the gas sales activities related to third parties (external customers only) within the gas division will be transferred to Petrom Gas SRL.
The gas division within Petrom will manage the gas metering activities, namely the flow rate and calorific power of the gas in the transfer points to the national transportation system. Also, the gas division of Petrom will continue to manage gas deliveries for Petrom’s internal use and gas storage activities.
The impact of this change on OMV Petrom SA’s financials is not material (below 10% of OMV Petrom SA’s total assets value, respectively net turnover on a yearly basis).
Petrom Gas SRL will be managed by a Board of Directors consisting of up to three members. The business activity of Petrom Gas SRL will be supervised by a Supervision Body, a conventional structure having functions similar to the ones of the Supervisory Board in the two tier system.
OMV Petrom SA
Petrom is the largest Romanian oil and gas group, with activities in the business segments of Exploration and Production, Refining and Marketing as well as Gas and Power. Petrom exploits estimated proved oil and gas reserves of 0.9 bn boe, has an annual refining capacity of 8 mn t and holds around 550 filling stations in Romania. The company also has an international network of 269 filling stations located in Moldova, Bulgaria and Serbia. In 2008 the turnover of Petrom was EUR 4,552 mn, EBITDA was EUR 969 mn. OMV, the leading energy group in the European growth belt holds a 51.01% share in Petrom. OMV is active in 13 Central European countries in its Refining and Marketing business segment and in 17 countries on four continents in Exploration and Production. Ministry of Economy holds 20.64% of Petrom shares, Property Fund SA holds 20.11%, the European Bank for Reconstruction and Development 2.03% and 6.21% are owned by minority shareholders.
Chief Executive Officer