The decision was made after a feasibility review and strategic alignment with Lockheed Martin, Sinteza said in a report to the Bucharest Stock Exchange.
Sinteza Oradea’s statement in full:
“SINTEZA S.A. informs shareholders and investors that, during the Board of Directors meeting on May 19, 2025, following an in-depth internal evaluation and strategic alignment with our technological partner, Lockheed Martin, has made the decision to discontinue the implementation of the investment project titled “Establishment of a new production, testing, and recycling capacity for electrolytes used in the manufacturing of industrial batteries for energy storage,” financed under Contract no. 344/27.12.2024 through the NRRP program (National Recovery and Resilience Plan).
The decision reflects the conclusions of a thorough feasibility study and commercial assessment by Sinteza SA , that considered a range of relevant factors. Redox flow technology is promising and holds long-term strategic value for the energy sector; however, the current context does not yet provide all the necessary conditions for the sustainable launch of this project.
The analysis took into account, among other aspects, the overall market dynamics for long-duration storage solutions and the current characteristics of demand, without in any way questioning the potential for future collaborations in this area.
Furthermore, during the most recent analysis phase, options to adjust the initial business model were explored, which would have involved a significant redefinition of Sinteza S.A.’s role and responsibilities. These scenarios would have implied a considerable expansion of the implementation scope, as well as a substantial increase in investment commitments and associated risk levels. Given the current market context, such an involvement cannot, at this stage, be supported on a strategically sound basis.
Although the project benefits from non-reimbursable support approved by the Ministry of Energy, the updated analysis has indicated that, in the current context, the conditions required to support its economic viability are not fully met. Under these circumstances, continuing with implementation could entail a level of exposure that is not fully aligned with our principles of strategic prudence and responsible resource management, in line with the company’s long-term objectives and the interests of our shareholders.
Consequently, we will initiate the formal procedures for terminating the project implementation and the related financing contract, in full transparency and in compliance with all applicable legal and contractual requirements, in line with corporate governance principles and the expectations of our investors and stakeholders.”
Also on May 19, Remus Cotut stepped down as general manager of Sinteza Oradea. The position will go to shareholder Radu Pascu as of May 20, 2025, for a three-year term.
“This decision comes in the context of the company’s resolution to discontinue the implementation of the investment project financed through the National Recovery and Resilience Plan (NRRP). Given that Mr. Cotut’s mandate was closely linked to the execution of this strategic project, the discontinuation naturally concludes the leadership engagement that had been mutually agreed upon at the time of his onboarding,” the company officials said.
(English version by Loredana Fratila-Cristescu)