Rompetrol increases share capital by EUR 100 mln to pay some of its state debt

Oil company Rompetrol Rafinare is planning to increase its share capital by RON 450 million (around EUR 107 million) in order to pay a part of its state debt. The company's shareholders will meet to decide on the share capital increase on June 30. Romanian minister Elena Udrea has recently said the Romanian state would not need to cut pensions and state salaries if Romanian businessman Dinu Patriciu would pay the debt to the Romanian state, over $600 million. She recently said in a TV show that the payment deadline expire this fall and that KazMunaiGaz, which bought Rompetrol from Dinu Patriciu, cannot pay its debt. The Romanian government issues a government ordinance in 2003 which transformed Rompetrol's budget debt into seven-year maturity bonds, worth $603 million, including debt and penalties. The group's CFO Dimitri Grigoriev said earlier this year KazMunaiGaz won't be able to pay the debt entirely.