Major Romanian gas supplier seeks EUR 30 mln loan from EBRD

Premier Energy, the third largest natural gas distribution firm in Romania indirectly controlled by Czech businessman Jiri Smejc through investment fund Emma Capital, reportedly seeks to borrow up to EUR 30 mln from the European Bank for Development and Reconstruction (EBRD). It will use the money to finance the gas purchase contracts in the context of price increases caused by the war in Ukraine.

Premier Energy will also use the funds to meet its obligation to store natural gas at a minimum level of 30% for next winter, with a view to ensuring continuity and security of supply and affordability of prices for end customers.

The EBRD is analyzing the granting of a revolving working capital loan to Premier Energy, according to Profit.ro. The credit facility is analyzed under the EBRD's Resilience and Livelihoods Framework, which has among its priority areas energy security in Ukraine and war-affected countries.

The loan "will provide an emergency facility to prevent interruptions in gas supply and to maintain a reliable supply of vital energy services before the main heating season, both for the population of Romania and for Ukrainian refugees, predominantly women, children and the elderly," says the EBRD.

Premier Energy, established in 2007, has been operating in the natural gas market in Romania as a distributor and supplier since 2013, being the third major player after Engie and E.ON. At the end of last year, the company served more than 115,000 customers.

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