Thursday, April 15, 2021
HomeOil & GasRomania's FIEKR approves investments to strengthen local energy security

Romania’s FIEKR approves investments to strengthen local energy security

The Kazakh-Romanian Energy Investment Fund (FIEKR) approved two new investment projects for a total amount of 43 million US dollars related to the Romanian energy sector. These projects will create synergies to the production processes of the Petromidia Năvodari refinery (part of the company Rompetrol Rafinare) and economic added value for both companies.

“The Kazakh-Romanian Energy Investment Fund continues its investment plan for the development of energy projects, which will create new jobs, budget contributions, state of the art technological input, but also with an impact on supporting the local economy (services, products, etc.),” said Iskander Abdibaitov, FIEKR Chairman of the Management Committee. “At the same time, it will ensure a rentability level around 11 per cent for the two shareholders of the Fund, KMG International and Societatea de Administrare a Participaţiilor în Energie.”

The first project aims the construction of a dewaxing plant on the Petromidia platform, which will allow the refinery to significantly improve the process of obtaining diesel fuels in the wintertime.  At the same time, the integration of the new dewaxing plant into the technological flow of the refinery will also allow an increase in the production of aviation jet fuel, leading to the strengthening of local energy security.

The second major project aims to finance the consolidation and increase by more than 30 per cent the production of polymers within the petrochemical division of the Petromidia refinery, the sole producer in Romania in this field. The project of consolidation and increase of polymer production aims to convert the high-density polyethylene (HDPE) plant into a Polypropylene plant (PP), with the annual polypropylene production capacity following to increase from 90,000 tonnes presently to 120,000 tonnes by 2022.

For the next 5 years, the Fund aims to reach a network of 84 gas stations in Romania (the acquisition and modernisation of existing stations plus the construction of 66 new gas stations), which will ensure the creation of over 1,000 new jobs, over 5,000 people involved in various phases of development (design, execution, construction) and over 1,200 trading partners.

Most Popular