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April 13, 2021

OMV Petrom seeking buyer for 45-megawatt wind farm

OMV Petrom is preparing to sell the only wind farm that it owns in Romania, given that the oil company is renouncing the operations unrelated to its main activities, and the oil price is decreasing, two company sources told Bloomberg on Thursday.

According to the sources, who spoke under conditions of anonymity, the sale of this wind farm, built in 2011 on an investment of 90 million euros, is part of a larger Petrom plan to reduce costs.

“In early 2015, the company announced several measures in response to the changes in oil price, including optimizing the portfolio and possible sales of assets. The initiatives are still in the assessment phase,” reads a Petrom press release, quoted by Agerpres.

Given that the global oil price has halved in the past year, Petrom wants to slash costs by 30pct this year alone, to redirect investments to the natural gas that it has discovered in the Black Sea.

“Finding a buyer will depend very much on price, because the renewable energy market has been significantly affected by the changes to the support scheme, and also the price of green certificates,” said Swiss Capital trader Mihai Chisu.

With an installed capacity of 2,600 megawatts of wind energy and 1,200 megawatts of solar energy, Romania is meeting five years earlier the EU promise that at least 24pct of energy should come from renewable sources by 2020.

Petrom is the largest Romanian oil and natural gas company, with operations in the Exploration, Production, Refining and Petrochemicals, Marketing, Natural Gas and Energy. Austrian group OMV is the majority shareholder of Petrom, with a 51.01pct stake, and the other shareholders of the company are the Ministry of Economy, with 20.64pct and the Proprietatea Fund, with 20.11pct.

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