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Petrom, reaction to OUG imposing new taxes and taxes:

The draft emergency ordinance announced by the Ministry of Finance, which imposes new taxes and increases existing ones, "will have a strong negative impact on Romania's energy sector, on energy security, on jobs and investments," says Petrom, a press release.

Petrom's reaction is unusually tough, the company listed on the stock exchange being extremely cautious in terms of public communication.

The largest Romanian company with majority stake in Austria (OMV) and the state has a minority marticipation, shows that the measures "will throw the Romanian gas market back in time with at least 10 years at the regulated market stage and away to be liberalized. "

"One of the proposed measures is to limit the price of natural gas to 68 lei / MWh over a period of three years. We draw attention to the fact that artificially fixing a price that producers are obliged to sell gas violates the European Union's free market rules, distorts competition, discriminates against Romanian importers and can have serious consequences for gas supply, "says Petrom.

Some of the effects of the GEO project, according to Petrom:

- Romanian gas production would decrease in the coming years as a result of reduced investment The artificially set price of 68 lei / MWh puts at risk major investment projects in the field.

- Gas imports will increase, with a strong impact on Romania's energy security and rising gas prices in the future. In the absence of investment, domestic gas production is expected to fall sharply, and the gap would be covered by additional gas imports, which are significantly more expensive. According to OMV Petrom's estimates, in the absence of any investments, imports could increase to 40% -50% of consumption in 2030 (compared to about 10% at present) due to the decrease in national production.

- The lower level of investment would affect the labor market.