“The situation on the gas segment is unsustainable. The fact that gas prices aren’t increasing affects future investment in gas. The years 2012 and 2013 will be difficult for the Brazi power plant. Under normal market conditions we could turn a profit with this thermal power plant in 20-25 years. There will be challenges until the price regulation system stabilizes,” Gheorghe said.
She added Petrom is closely watching talks between the Romanian Government and the International Monetary Fund on the liberalization of prices. The company will then calibrate its investment policy on the results of these talks.
The head of the IMF delegation to Romania, Jeffrey Franks, said early February that the liberalization of gas prices should begin gradually starting 2013.
The Brazi thermal power plant, constructed by Petrom, will most likely become active in the second half of this year, after technical malfunctions during testing delayed its start.
Construction on the power plant started in 2009, with an investment of EUR500 million.
The unit has an installed power of 860 MW, comparable to that of a nuclear reactor at the Romania’s sole nuclear power plant in Cernavoda.