KMGI-Romania fund starts construction of $148 mln cogeneration plant

The estimated deadline for the commissioning of the new plant is the end of July 2023, the fund, set up by KazMunayGas International (KMGI) and Romania's government, said in a press release.

The new unit for combined production of electricity and heat will use natural gas as the main fuel, the mix of necessary resources being provided in proportion of 25% of the technological process of the refinery and 75% of the national network.

The new plant will generate approximately 80 MW of electricity - of which about 60-70 MW will fully cover the electricity needs of the Petromidia platform, technological steam of up to 180 tonnes per hour, plus the necessary hot water for the heating system of Navodari - up to 20 MWt per hour.

The surplus generated by the new plant will be sold on the Romanian market and will provide additional revenue for the investment vehicle, Rompetrol Energy.

The project will generate about $11 million in taxes paid to the state each year.

In August, the fund announced that it has signed an engineering, procurement and construction contract with Turkey's Calik Enerji for the construction of the plant.

KMG International, formerly Rompetrol Group, is fully owned by Kazakh state-owned energy company KazMunaiGaz Group. Its main asset is Romania-based Rompetrol Rafinare, which operates the Petromidia Navodari and Vega refineries.

($ = 0.8203 euro)