Oil Terminal sees lower profit this year

Oil Terminal Constanta profits will keep decreasing in 2003. At least this is what the Spending and Revenue (S&R) budget estimates. The company hopes to make 22.8bn ROL in gross profit this year, down nearly half compared with the 2002 profit estimates made in November. The budget was built in line with the government crude oil import strategy, endorsed in mid last year and considers services for 10 million tonnes of crude, oil and petrochemical products. The company provided services for 9.8 million tonnes in 2002. Turnover projections for 2003 show it to amount to 760.2bn, while total spending is supposed to reach 740.2bn ROL. The company officials say the oil price on the international markets does not directly impact on the results. “For instance, we charge $1.7/tonne regardless of the oil price on the international markets,” said company chairman Gheorghe Negreanu. Oil Terminal could, however, be affected by the decrease in the import of oil products following the price increase on the international markets. This year’s financial results are tied to the ROL/USD exchange rate trend, though, as Oil Terminal charges its fees in dollars. The main shareholder of the company is the State, through the Industry and Resources Ministry, which holds 61.4%. The other significant shareholder is the Broadhurst investment fund, which holds 11.8%. ZF