It said the contractor, Duro Felguera and Romelectro in association, failed to meet its contractual obligations in due time.
Romgaz added it was currently conducting a technical and economic expertise to determine the physical and value stage of contract execution and what works remain to be performed.
Romgaz and the association of Duro Felguera and Romelectro signed a EUR268.8 billion contract in 2016 for the construction of a 430 MW new thermal power plant in Iernut. The new power plant was scheduled to be completed in 2019.