Rompetrol refinery plans to reach profit in 2019

Rompetrol Rafinare, the company that operates the largest oil refinery in the country - the Petromidia refinery on Romania’s Black Sea coast, expects to break even and move in the black this year, amid new operational records that will lead to higher sales mainly driven by exports.

Rompetrol Rafinare targets USD 5 billion sales, USD 192 million EBITDA and USD 51.2 million net profit from refining and petrochemicals at both refineries, Petromidia and Vega, according to the budget draft for 2019, which is subject to shareholders' approval, local Economica.net reported. In 2018, the company reported consolidated sales of USD 5.25 billion, but the profitability was weaker: USD 152 million EBITDA and USD 23 million losses.

Rompetrol expects a refining margin of USD 50.5 per tonne this year, three dollars higher than in 2018, but four dollars below the margin in 2017.

According to the company's business plan, the Petromidia refinery will process 6.025 million tonnes of raw materials (out of which 5.3 million tonnes of crude oil), a new operational record, after the one in 2018 when the Black Sea refinery used 5.9 million tons of raw materials. In 2019, 5.88 million tonnes of finished products will come out of the refinery, including 1.57 million tonnes of gasoline and 2.8 million tonnes of diesel fuel.

By the market of destination, the company budgeted domestic fuel sales of 2.32 million tonnes and will export 2.15 million tonnes.

(Photo source: Facebook / Rompetrol - KMG International)