Agip Romania sees profit up 250%

Agip Romania, the local branch of the Italian petroleum group Eni, posted net profit worth 2 million euros in the first nine months of the year, up 250% against the same time last year and at a similar level to the profit forecast by company representatives for the whole of 2007.
The spectacular rise in net profit was registered amid a sales increase in petroleum products, improved control of fixed costs, and by the trend of international quotes for petroleum products, which reached record highs in 2007, when the price of oil per barrel almost reached the psychological threshold of 100 dollars. Prices of petroleum products have increased by 10% on average since the beginning of the year, which marked the highest increase since the market’s liberalisation in 2004.
“Turnover registered nine months into the year reached 62 million euros, up 18% against the same time last year. As a result, both petroleum products and non-oil products registered higher sales. The rise in international quotes for petroleum products has also had a positive impact on the sales of petroleum products,” explains Nicola Meuli, general manager of Agip Romania.
According to the company’s latest estimates, Agip Romania is expected to derive 90 million euros by the end of the year, compared with 73 million euros last year.
Currently, Agip Romania is the smallest operator on the petroleum market, although it is the only local branch with an international giant behind it.
In addition, at the beginning of this year, Agip shareholders approved an investment project worth 36 million euro through which it intends to double its current market share.
Currently, Agip Romania operates 26 petroleum stations and holds a 1% market share.
Last year, Agip made its first step towards network expansion and acquired two stations from Cyprus-based Fix Oil.