Iraq's Mass Group completes buy of Romania's Mintia TPP for 91 mln euro

The transaction is one of the most important for the Romanian energy sector and also the largest insolvency transaction this year, Expert Insolventa said in a press release on Tuesday.

Mass Group paid 10 million euro of the total price in August, while the rest of the sum was disbursed on December 27.

The insolvency administrator announced in August that Mass Group Holding has bought Romania's Mintia TPP from CEH in a public auction and plans to invest over 1 billion euro in the plant in the coming years.

As CEH is state-owned, the energy ministry imposed certain conditions to Mass Global Energy Rom, a subsidiary established by the holding group in Romania earlier this year with the aim of relaunching energy production in Mintia, Expert Insolventa said at the time. Thus, the buyer has the obligation to create a new energy capacity of at least 1,290 MWh by December 31, 2026, of which some 800 MWh must be obtained from renewable energy sources.

The Mintia thermal power plant is located 9 km from the city of Deva, in central western Romania. Currently, the plant has five units for the generation of electricity and heat powered by steam boilers. The plant entered insolvency in 2019 and has been under conservation since the summer of 2021, in the absence of the necessary investments to make it compliant with EU's environmental standards.

Complexul Energetic Hunedoara was established in 2012 through the merger of Deva Electrocentrale and Electrocentrale Paroseni.

Established in 1995, Mass Group Holding is an Iraqi company registered in Cayman Islands/UK with its head office in. Amman, Jordan. The holding is focused on power generation and production of cement, iron and steel.

($=0.938 euro)