Petrom to set up a new gas distribution company

• The new company, Petrom Distributie Gaze SRL, will manage the already existing gas distribution network of Petrom
• The company will be formed by transferring assets and employees from Petrom S.A.
• The decision to reorganise the gas distribution business is in line with relevant European Union directives and Romanian legislation

Petrom, the largest oil and gas producer in South Eastern Europe, is undergoing a reorganisation process of its gas distribution business and establishes a new company, Petrom Distributie Gaze SRL. The reorganisation of this business is based on the European Union Directives in this regard (2003/55/EC and 2004/67/EC) and the Romanian legislation (Gas Law 351/2004), which requires the separation of gas distribution activities from other business to warrant market competitiveness and transparency.

Mariana Gheorghe, Chief Executive Officer of Petrom: ”Petrom operates a gas distribution network of 950 km serving more than 14,000 clients. The experienced staff and the entire distribution grid will be transferred to the new company. This new company will meet the challenges of the liberalised gas market as it provides a more flexible and efficient structure to deal with the steadily increasing number of clients. All affected parties will benefit from this decision, both clients and employees of the distribution organisation”.

The gas distribution network of Petrom supplies household and commercial consumers across the entire country.

Petrom Distributie Gaze will commence operations at the beginning of October.

The new company will be 99.99% owned by Petrom SA and will report to the Gas Division of Petrom.