Press release

6 november 2016

On 4 November 2016 it was completed the pulling under the Danube river of the 2100 m DN 500 backup pipeline, the works being performed under the execution contract concluded with Inspet SA as the Leader and SC Habau PPS as the Associate, although the grant agreement and the execution contract foreseen 31.12.2016 as the completion deadline. Due to the advanced technology used, the successful technical solutions chosen and the specialist personnel involved, the execution works, the pressure tests, the tying in and commissioning of the pipeline will be completed by the end of November 2016, which is one month earlier than planned.

As of this date the main pipeline has been finalised, tested, accepted and commissioned, being created the technical conditions to ensure gas exports from Romania to Bulgaria. The regulating – metering stations on the territory of Romania and of Bulgaria were built and accepted in order to enable performance of  the import and export activities following the signature of the Interconnection Agreement and the approval of the capacity booking methodology.

The Romania – Bulgaria interconnector was estimated to be achieved with a total cost of 23 million euro, of which 10.9 million euro allocated for the works on the Romanian territory and 12.8 million euros on the territory of Bulgaria. The indicative value of the grant for the implementation of the entire project amounts to 8.9 million euro.

The actual undercrossing of the Danube River at Comasca started on 25 September 2016, when the main pipeline was pulled through the drilled borehole under the Danube River. The undercrossing works mean the actual connection of the Romanian and Bulgarian gas transmission systems. At the same time the Giurgiu Gas Metering Station allows reverse gas flow to a maximum 1.5 bcm/year in both directions.

The gas is transmitted through the 5.1 km DN 500 mm gas pipelines from the Giurgiu Gas Metering Station to the Comasca valve assembly (Romania). The length of the Danube undercrossing is of 2.1 km from the Comasca valve assembly to the Marten valve assembly (Bulgaria).

Currently the Romania – Bulgaria interconnector, a pioneering work, is the largest of this kind in Romania and in Europe.

Transgaz is in the final stage of negotiation of the Interconnection Agreement with Bulgartransgaz, the neighbouring gas transmission operator in Bulgaria. The Interconnection Agreement will lay at the basis of the transmission capacity trade.

The Romania – Bulgaria interconnection project is the only project by which it may be ensured the transmission of gas from the Azerbaijan-Turkey-Greece southern route to Austria through the section on the territory of Romania. The gas pipeline from Bulgaria to Austria, via Romania and Hungary (BRUA - PCI 7.15, project of common interest on the first list of PCIs) is very important for the region, since, following its commissioning, the pipeline will ensure the integration of the Southern Corridor gas sources into the Central and Western European markets.

The BRUA project (consisting of two phases according to the CESEC recommendation) is part of the 2014-2023 Transgaz Development Plan and is on the updated list of projects of common interest adopted by the European Commission. The Black Sea shore - Podișor Compressor Station pipeline is also a European project of common interest, connecting with BRUA by taking over the potential Black Sea gas sources.

The BRUA project is developed in the context of the necessity to diversify the gas supply sources of the European countries, increase security of supply to Romania by the access to new sources, the transmission to the Central European markets of the Caspian Sea gas, the ensuring in the Bulgarian direction of a bidirectional transmission capacity of 1.5 bcm/year and the development of a transmission capacity of 1.75 bcm/year in phase I and 4.4 bcm/year in phase II in the Hungarian direction

The pipeline will have a total length of 528 km, a 32"(DN 800) diameter and a design pressure of 63 bar.

SNTGN Transgaz SA is the technical operator of the National Gas Transmission System and is responsible for its operation compliant with the quality, safety, economic efficiency and environmental protection conditions.

INSTITUTIONAL COMMUNICATION DEPARTMENT

9 september 2016

Today, September 9th, 2016, on the occasion of the High Level Group of the European Commission initiative on Central and South-Eastern Europe Gas Connectivity (CESEC), in Budapest, the Connecting Europe Facility (CEF) Grant Agreement for the the route across Romania of the Bulgaria-Romania-Hungary-Austria gas transmission corridor (BRUA) was concluded between Transgaz – the operator of the Romanian gas transmission system and the representatives of the European Commission. Under this Agreement, which is an exceptional result of the CESEC regional cooperation, Transgaz acquires grants amounting to Euro 179.32 million for the implementation of BRUA Project – phase 1.

The CEF Grant Agreement was signed by Dirk Beckers – Executive Director of the Innovation and Networks Executive Agency (INEA), by Ion Sterian – the Chairman of Transgaz Board and by Petru Vaduva – Transgaz’ Director General, in the presence of: Maroš Šefčovič – the Vice-President of the European Commission in charge with the Energy Union, Miguel Arias Cañete – the European Commissioner for Climate Action & Energy and Victor Grigorescu – the Romanian Minister of Energy. Due to the EU financial support, Transgaz will be able to consolidate the Romanian gas transmission system, by 2020, to benefit the security of gas supply to Romania and the region.

This event has special significance to our national gas industry considering that the agreement was signed on the day when Romania celebrates the Gas Workers’ Day. Therefore, the grant of Euro 179.32 million for the BRUA project may be deemed to be an award to Transgaz in appreciation of the company’s technical experts and professionals as well as of the company’s management abilities to set in motion such flagship project.

The BRUA project, enjoying the support of the Romanian Government, is a strategic project both for the country and the region, making a contribution to Romania’s economic development, by the horizontal sectoral industry relaunch. This project is estimated to create approximately 4,000-5,000 jobs during the construction phase and approximately 300-400 jobs for an indefinite period of time. The project is undergoing a process of environmental permit acquisition and conclusion of agreements with the impacted land owners.

The BRUA project is developed in the context of the need to diversify the sources of gas supply to EU countries and to increase the security of gas supply to Romania and is aimed to enable access to new sources, to facilitate Caspian gas transmission to the Central and Eastern European markers, to ensure bidirectional gas transmission capacities to Bulgaria (1.5 bcma) and Hungary (1.75 bcma – BRUA phase 1).

This event held in Budapest was attended by Marius Lazurca – the Romanian Ambassador to Hungary, Mihnea Constantinescu – Ambassador at large for energy security, Ciprian Alic – Director of Transgaz Division for EU Funds and International Relations and representatives of the European Commission such as Dominique Ristori – Director General of DG ENER. 2/2

Transgaz is the technical operator of the National Romanian Gas Transmission System responsible for its operation under quality, security, economic efficiency and environmental protection conditions.

CORPORATE COMMUNICATION DEPARTMENT

PRESS RELEASE

SNTGN Transgaz SA and VESTMOLDTRANSGAZ concluded a

Cooperation Agreement

Yesterday, 24.08.2016, SNTGN TRANSGAZ SA and VESTMOLDTRANSGAZ, the gas company of the Republic of Moldova signed a Cooperation Agreement in Chisinau, in the field of the interconnection of gas transmission systems.

The event took place on the occasion of the meeting of the Moldavian-Romanian Group in the energy field for the implementation of the projects necessary for the interconnection of the gas and electricity networks in the two countries.

The document signed by Mr. Ion Sterian – Chairman of Transgaz’ Board of Administration and by Mr. Iurie Dolghier – the Administrator of Vestmoldtransgaz stipulates the general principles related to the cooperation of the two gas transmission system operators, mainly for the development of the project related to the interconnection of the gas transmission systems in Romania and the Republic of Moldova.

 During the meeting of the joint group, the specialists of the Ministry of Economy of the Republic of Moldova, the Ministry of Economy, Commerce and Business Environment Relations and of the Romanian Ministry of Energy approached mostly the draft of the Regulation related to the operation of the Coordination group in the investment field and the procedure for its approval, aspects related to financing design works and the establishment of Transgaz’ Representative office in Chisinau.

The specialists of the joint group in the investment field are coordinated by the Vice minister of Economy Valeriu Triboi and by the President of the Department of Privatization and State Property Administration from the Ministry of Economy, Commerce and Business Environment Relations in Romania, Mihaela Preda.

SNTGN Transgaz SA is the technical operator of the national gas transmission system and it is responsible for its operation under quality, safety, efficiency and environmental conditions.

Corporate Communication Department

                                                 PRESS RELEASE

SNTGN Transgaz SA Mediaș informs all those concerned of the following:

1. By Order No. 39/10 August 2016 issued by the National Energy Regulatory Authority it was approved the regulated revenue, the total revenue and the transmission tariffs for gas transmission activity  the National Transmission System for the fifth year of the third regulatory period (1 October 2016 - 30 September 2017).

The total revenue approved for gas year 2016-2017 amounts to RON 1.101.667,33 thousand, similar to the previous gas year.

The diminishing of the gas transmission tariffs for the short-term (quarter, month, day) capacity booking products, as compared to the tariffs for the short-term capacity booking products of the previous gas year, and the seasonality specific to the gas transmission activity are factors which lead Transgaz to estimate the decreasing of the 2016 – 2017 gas year regulated revenue recovery from the using of the long-term booking products as compared to the previous gas year.

This re-orientation of the network users in the direction of using the short-term capacity booking products will have an impact on the achievement of revenue from the gas transmission activity in the sense of increasing revenue from the transmission activity during the winter season quarters and diminishing of revenue from the transmission activity during the summer season quarters.

2. By Order No. 40/10 August 2016 issued by the National Energy Regulatory Authority it was approved the total revenue amounting to RON 56,2 million and the transmission tariffs for gas transmission through the Isaccea 1 – Negru Vodă 1 pipeline for the period 1 October 2016 - 30 September 2017. These tariffs will be used as start-up price in the auctions organized compliant with Order No. 34/2016 of the National Energy Regulatory Authority.

THE INSTITUTIONAL COMMUNICATION DEPARTMENT

Press release

Press release 22.07.2016

Press release Memorandum Azerbaidjan

PRESS RELEASE

The conclusion of a Memorandum of Understanding between

Transgaz and PVGASCITY JSC

Yesterday,12.07.2016, SNTGN TRANSGAZ SA Romania and PVGASCITY JSC signed a Memorandum of Understanding in Vietnam.

The Memorandum was concluded on the occasion of the visit of the Romanian Prime Minister, Dacian Ciolos in the Socialist Republic of Vietnam, who opened the Romanian-Vietnamese Business Forum, organized under the auspices of the two countries' Chambers of Commerce and Industry.

Under the Memorandum signed in Hanoi, TRANSGAZ and PVGASCITY JSC espressed their intention to support mutually beneficial projects and to develop new lines of cooperation in the gas field. This Memorandum outlines the basic principles, the responsibilities and the framework for the coordination of the two partners' activities underlying the development of their future cooperation relationship. The Parties agreed to cooperate for a period of 1 (one) year, after having identified a set of measures on priority issues and after having defined their strategic vision and based on a market survey.

The Memorandum was signed by, Mr. Ion Sterian - the Chairman of Transgaz' Board and by Mr. Ciprian Alic the Director of the EU Funds and International Relations Division, on behalf of the Romanian party and by Mr. Bui Xuan Nang, Deputy Director of PVGASCITY JSC on behalf of the Vietamese party.

PVGASCITY JSC is authorized to build, operate and maintain gas distribution networks to residential and industrial areas in Vietnam. 

SNTGN Transgaz SA is the technical operator of the national gas transmission system and it is responsible for its operation under quality, safety, efficiency and environmental conditions.

Corporate Communication Department

16.06.2016

PRESS RELEASE

On 16.06.2016 Mr Klaus Iohannis, the President of Romania, together with the delegation of the Romanian Embassy of Romania in Sofia, visited Marten Site, Bulgaria, were the HDD works for the Danube undercrossing were initiated.

Mr President met the representatives of the companies involved in the project: Transgaz, Bulgartransgaz and  the constructor Habau.

Mr Ion Sterian, the Chairman of the Board of Administration of Transgaz, and Mr Petru Văduva, the Director – General of our Company, presented the interconnection project and discussed with Mr Iohannis about the project opportunities.

The Interconnection Bulgaria - Romania is the only project ensuring gas transmission on the southern gas route Azerbaijan-Turkey-Greece to Austria, through the Romanian section. The gas pipeline from Bulgaria to Austria via Romania and Hungary (BRHA - PCI 7.15, Project of Common Interest on the first list of PCIs) is significant at the regional level since after commissioning the pipeline will provide integration of gas sources from the Southern Corridor with the Central and Western European markets.

The implementation of this project ensures supply of gas from the Southern Corridor (the TANAP and TAP projects), the LNG terminals and other potential sources to the Balkans, Southern European and Central European countries, thus completing the Vertical Corridor between Greece-Bulgaria-Romania, to Hungary and Central Europe.

The project benefits from EU funding through the EEPR, according to Funding Decision C(2010)5962-06.09.2010, the maximum value of the grant amounting to EUR 4.5 million for the Romanian section and to EUR 4.1 million for the Bulgarian section.

The date of project completion according to the EC Funding Decision is 31.12.2016.

The project includes the building of two gas metering stations (at Giurgiu in Romania and at Ruse in Bulgaria), enabling gas flow in both directions.

The Institutional Communication Department