Romania wants to complete the selling of a 27% stake in the oil refining company Rompetrol Rafinare by mid-2016, said the Energy Minister Andrei Gerea. The only potential buyer is KMG International NV, the company’s majority stake owner.

Rompetrol Rafinare is the second largest oil company in Romania and operates the Petromidia refinery. It is part of KMG International, which is controlled by KazMunayGas, the state oil company of Kazakhstan.

The Kazakh group has priority in acquiring the shares, according to a government decision, but only if it matches the highest bid, reports local Agerpres. The price will be no less than USD 200 million, according to the privatization strategy adopted by the Government on July 28.

The Government also wants to help KMG set up an investment fund to finance the projects in Romania, in the next nine months, Gerea added.

The Romanian state holds 45% of Rompetrol Rafinare’s shares, and will keep the remaining 18%. Rompetrol Rafinare had a turnover of over EUR 3 billion in 2014, but has recorded losses for more than five years in a row.

editor@romania-insider.com