By Jerom Bolt
Transgaz SA, the Romanian transmission and system operator and the Austrian Central European Gas Hub AG (CEGH), the operator of the Virtual Trading Point (natural gas hub) in Baumgarten, Austria, signed a Cooperation Agreement on Monday setting up of the Romanian company on shares ”Romanian Gas Hub”, a joint venture that will have the objective of operating the Virtual Trading Point in Romania (PVT), according to a Transgaz release.
After the agreement is signed, the steps for setting up the “Romanian Gas Hub”, a company that will provide professional gas hub services for Romania (including marketing and related services) and will have the purpose of operating the Romanian Virtual Trading Point (PVT) will begin . Transgaz will own 51% of the shares and CEGH 49%.
Romania is taking the first formal step towards creating a gas market hub in the region, to the detriment of Hungary, which has long wanted this role. However, in order to become a real hub, Romania must realize its interconnections with neighboring states, have a functioning market and start the production of gas in the Black Sea.
The Cooperation Agreement was signed by Transgaz SA Români, by Ion Sterian, CEO, and by Gottfried Steiner, CEO of Central European Gas Hub AG.
Transgaz will nominate the General Manager, and CEGH will nominate the Deputy General Manager.
According to Transgaz, “the Romanian Gazier hub assumes a new vision on the natural gas market, namely to build a free, liquid, responsible, carefully supervised market, developing ways to support vulnerable customers, uniquely dispatched to prevent crises in exceptional situations. and fully integrated in the European Energy Union ”.
Central European Gas Hub in Austria is the most important natural gas trading point in central and eastern Europe.
“After the implementation of the timetable for setting up the new company, Romanian Gas Hub, estimated for the end of February 2020, it will be possible to increase its share capital, increase which, according to the Cooperation Agreement, CEGH will not subscribe new shares. Depending on what the Romanian State decides, in this company may enter as shareholders, Romanian companies / entities such as: Romgaz, OMV Petrom, other gas producers in Romania, CEC or Eximbank as Clearing House, OPCOM, BRM, BVB etc ”, said Ion Sterian, General Manager of Transgaz SA, according to the statement quoted.
Gottfried Steiner, CEO of Central European Gas Hub AG, said that “Romania provides the ideal conditions for a gas trading framework, with a large gas pipeline system and high national gas production.”
By Jerom Bolt