Energy Holding loses contract with Oltchim

Energy Holding, the largest private energy trader on the market, has recently lost the energy supply contract with chemical plant Oltchim, estimated at 65 million euros, after it was replaced by state-owned Electrica. Electrica managed to buy energy from the Romanian Commodities Exchange (BRM) at a price of 150 RON per MWh at the end of last year, while trading prices on the energy stock exchange OPCOM stood at around 180 RON per MWh. The contract entails the supplying of 1.35 million MWh a year (2% of Romania’s annual consumption) and has a value of around 65 million euros, taking into account the trading prices on the OPCOM energy exchange. Energy Holding now risks losing the supply contract with Petrom, which brought the electricity trader revenues worth almost 100 million euros a year, i.e. a third of overall revenues. Energy Holding has also announced a change in its strategy for this year and will focus on small and medium-size industrial clients.