Petrom creates gas division

Shareholders in Petrom, Romania”s largest company, decided this Tuesday to establish a separate company to supply natural gas. The new company will be directly subordinated to chief executive Gheorghe Constantinescu, sources close to the company told Ziarul Financiar. “The gas division will become a powerful profit making centre after large amounts of money are pumped into development of the operation. The petroleum exploration and production segment, which includes gas production, has been allocated 200-250 million euros for investment,” the sources added. The creation of a separate gas division within Petrom that will be directly subordinated to the chief executive of the company will see Petrom”s portfolio follow the model established by Austria”s OMV. OMV acquired 51% in Petrom at the end of last year in a 1.5bn euro deal. ZF