Romania-based Rompetrol posts profit during first quarter, after three years of losses

Oil and gas company Rompetrol Group, owned by KazMunaiGaz, posted a net profit of USD 900,000 in the first quarter of the year, after posting losses in the last three years. Its turnover during this period reached USD 2 billion, up 29 percent. Its operational profit (EBITDA) was of USD 47.5 million, compared to a loss of USD 7.5 million during the first quarter of 2010. The net profit in the first quarter was mainly triggered by the restructuring measures, such as cost cutting, according to the company's statement. The company managed to cut its general and administrative costs by USD 30 million last year, after having slashed USD 180 million off these costs in 2009. This year, it plans to cut an additional USD 90 million from its costs. Rompetrol externalized some secondary activities, such as logistics, the production and supply of hot water and heat for its Mangalia operations, while expanding Rominserv's activities in Kazakhstan and modernizing the Petromidia refinery. Rompetrol Rafinare, the refinery subsidiary posted a loss of USD 11.3 million, compared to a loss of USD 57.3 million in the first quarter of 2010. Its turnover went up to USD 1 billion, compared to USD 841 million in the first three months of last year. editor@romania-insider.com