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Romgaz takes out 325 million euro credit from Raiffeisen to acquire Exxon Romania
Romgaz took out a 325 million euro credit from Raiffeisen Bank to partially finance the acquisition of ExxonMobil Romania, according to a release of the company, sent, on Wednesday, to the Bucharest Stock Exchange.
Romgaz will use the loan to partially finance the acquisition price that will be paid for all the shares issued by ExxonMobil Exploration and Production Romania Limited (EMEPRL), which owns 50% of the rights and obligations regarding the Neptun Deep perimeter.
The loan facility worth 325 million euro has a deadline of five years and is correlated with the general financial performance of Romgaz. The facility, in which Raiffeisen Bank acts as creditor, offers Romgaz the financing for its resource development plan, covering part of the acquisition price of all shares issued by EMEPRL.
"The signing of this financing contract is necessary to realize an important step assumed in the Romgaz strategy for development for the 2021-2030 period, namely the finalization of the acquisition of the EMEPRL shares, owner of 50% of the rights and obligations regarding the Neptun Deep perimeter. It is a first step that proves our determination to maintain Romgaz as the most important player in the gas market in Romania and will position us strategically in the current geopolitical context. The development and exploitation, as soon as possible, of the deposits with commercial potential in the Neptun Deep perimeter will ensure the adding of considerable volumes to the production of natural gas of Romania which will support, without a doubt, security in the natural gas supply of the country," said the general director of Romgaz, Aristotel Jude.
The closing of the financing contract was facilitated by the legal support of law firms Dentons, representing Romgaz, and Wolf Theiss, acting for creditor Raiffeisen Bank.
Presently, ExxonMobil and OMV Petrom are equal partners in the deep sea project Neptun Deep, where exploration has revealed gas deposits estimated at 42-84 billion cubic meters.