The national gas transport operator Transgaz has planned investments of RON 6.1 billion between 2018-2020, in the development of the National Transport System (NTS) and the acquisition of shares in European industry operators.
Transgaz is estimating a net profit of RON 213.1 million this year, which is twice as low as what had been predicted for last year, at total revenues of RON 2.52 billion, 25.3 percent higher.
The indicators will be submitted for a vote by shareholders on March 5th.
“Total investment expenditures include amounts directed towards the development and upgrade of NTS, for acquiring shares in European industry operators, for reimbursing loans for financing investments which were not covered by own sources and payments of warranties for temporarily taking land out of the agricultural circuit”, according to the report by Transgaz.
The money will be directed, among other things, to acquiring shares in the Moldovan state company Vestmoldtransgaz, and to pay Transgaz’s part of the 66 percent acquisition of DESFA, the operator of the natural gas distribution network in Greece. Investments also include the necessary amounts for the construction of the Ungheni-Chisinau transport pipeline.
Of the total, the expenditures for investments planned for this year go up to RON 1.88 billion and another RON 2.96 billion are budgeted for next year. In 2020, the company wants to allocate another RON 1.25 billion.
Financing will be covered by own sources, European funds and bank loans.
The company estimates a net profit of RON 213.1 million, less than half of the net profit estimated for 2017, which was RON 513.1 million. The total budgeted revenues for this year are RON 2.51 billion, 25.3 percent higher than the total revenue estimated for last year, of RON 2 billion.
Estimations for 2019 show that Transgaz has projected a net profit of RON 257.8 million and total revenue of RON 4.1 billion. In 2020, the company aims for total revenue of RON 2.9 billion and a net profit of RON 200.9 million.
The majority shareholder of Transgaz is the Economy Ministry, which controls 58.5 percent of shares.