Kazakhstan, Astana, August 28 / Trend K. Konyrova /
The national company KazMunaiGaz JSC will not invest in the development of its subsidiary, the Rompetrol Group NV in Romania yet, a source in the company said in an interview with Trend correspondent.
"At present, there are no grounds or prospects to develop Rompetrol. Our task is to keep it as it is," representative of KazMunaiGaz said.
It was reported earlier that KazMunaiGaz implemented an investment program on the reconstruction of the Petromidia refinery, the use of offshore terminal in the port of Midia and the expansion of Rompetrol filling-stations' retail branches both in Romania and 12 other European countries.
He said that at present the European market is becoming unprofitable for oil processing.
"At present, all European companies are incurring great losses. The crisis is affecting Europe and the demand for oil products is falling significantly. Everybody is experiencing losses. Rompetrol is integrated in the European economy and subject to European business laws. In such a situation there are no grounds for developing Rompetrol," a source said.
It was reported earlier that KazaMunaiGaz and Rompetrol Holding SA announced that KazaMunaiGaz had bought the final 25 percent of Rompetrol Group NV's shares in late June 2009. As a result of this deal, KazMunaiGaz became the owner of all TRG shares.
At present, Rompetrol produces oil products and chemicals and has a large number of filling stations in Europe, President of KazaMunaiGaz, Kairgeldy Kabyldin, said.
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