- The value of the dividends granted for 2007 is increasing compared to 2006
- Investments budget for 2008 of over 6.1 billion RON
- The company estimates a significant profit increase for 2008
- Petrom – AVAS discussions
Today, April 22nd 2008, the Extraordinary General Meeting of Shareholders (EGMS) and the Ordinary General Meeting of Shareholders (GMS) took place in the presence of representatives of OMV, with 51.011% stake of the company, the Authority for State Assets Recovery with 20.639%, Property Fund, with 20.110%, EBRD, with 2.026% of the share capital of the company and a number of private persons and representatives of legal persons as shareholders.
The dividend value increased by 6.7% compared to 2006
Based on the financial statements of Petrom SA for the year ended December 31 2007, at the proposal of the Executive Board of Petrom, the GMS decided to grant dividends. The value of the dividend increased by 6.7% compared to 2006, at RON 0.0191 per share (gross value). Therefore the value of the dividends corresponding to the financial year 2007 represents 61% of the net profit of Petrom SA in 2007.
The value of the dividends paid by Petrom after the privatization increased yearly: for 2005 – RON 738.4 mn, for 2006 – RON 1,013.9 mn, for 2007 – RON 1,081.9 mn.
Unprecedented investments, of around 6.1 bn RON
The revenues and expenditures budget of Petrom for 2008 was approved in the GMS. The total amount of investments budgeted for 2008 is over RON 6.1 bn, out of which 55% are in Exploration and Production activities, 21% in Refining, 7% in Marketing, 12% Gas & Power and around 5% for Corporate and Petrom Solutions.
The company estimates for 2008 a turnover of RON 11,973 mn, approximately equal to the turnover achieved in 2007 (RON 12,284 mn) and a net profit of RON 2,422 mn, increasing by 36% compared to the net profit registered last year.
Petrom – AVAS discussion with regards to an amiable solution to the conflict related to Petromservice
Following the request from AVAS, on the agenda of the GEMS from April 22 2008 a point referring to the annulment of the Decision of the Supervisory Board of Petrom from September 18 2007 with regards to the acquisition of Petromservice’s oil related activities was present.
After the GMS, in view of an amiable solution of the conflict referring to the Petromservice transaction, including the termination of the lawsuit initiated by AVAS, a series of talks took place between AVAS, Petrom and OMV. Petrom provided to AVAS documents and additional information with regards to the transaction with Petromservice.
As a result of the discussions and the additional documents supplied by Petrom, the management of AVAS decided not to uphold the point on the agenda of the GMS referring to the transaction with Petromservice, the mandate of its representatives in the GMS being one of abstention.
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 257 filling stations located in Moldova, Bulgaria and Serbia. In 2007 the turnover of Petrom was EUR 3,683 mn, EBITDA was EUR 933 mn. OMV, the leading oil and gas group in Central Europe holds a 51.011% share in Petrom. OMV is active in 13 Central European countries in its Refining and Marketing business segment and in 21 countries on five continents in Exploration and Production. AVAS (Authority for State Assets Recovery) holds 20.64% of Petrom shares, Property Fund SA holds 20.11%, the European Bank for Reconstruction and Development 2.026% and 6.214% are owned by minority shareholders.