The value of the contract, which does not include VAT, is 2.5 higher than Condmag’s 2012 turnover. The gas compressor will be installed at Romgaz’s natural gas deposit in Sarmasel.
Condmag registered sales of RON92.8 million in 2012, down 19% on the year, and a net loss of RON22.8 million.
Condmag will work on the project alongside Inspet Ploiesti and their project share will be set after the two-year contract is signed, the company said in a statement.
Dafora (DAFR.RO) controls 45.82% of Condmag shares, while Dutch fund OGBB A Van Herk holds a 10.91% stake.
On the Bucharest bourse, Condmag shares increased 27% since the beginning of the year, after they lost 47% in 2012. Early Tuesday, the company traded up about 7%, at RON0.1179 a share.