March 16 (SeeNews) - The European Commission said that Romanian companies OMV Petrom Marketing and KMG Rompetrol Development will receive 15.18 million euro ($16.15 million) and 1.08 million euro, respectively, in support of green mobility projects.
The funding comes under an EU’s financial support scheme, which provides 26 projects from twelve member states with a total of 188.8 million euro for the installation of alternative fuel infrastructure, the Commission said in a press release on Wednesday.
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“Our investment of 189 million euro will translate into approximately 2,000 charging points, plus some 63 hydrogen refuelling stations,” Adina Valean, European commissioner for transport, said.
The project of OMV Petrom Marketing comprises 408 recharging ports dedicated to light duty vehicles in 98 existing locations along the trans-European transport network (TEN-T) in Romania, Hungary and Slovakia.
KMG Rompetrol Development’s project targets the installation of 24 recharging ports and twelve grid connections distributed across twelve sites along the TEN-T road network in Romania.
Financing comes in the form of grants with different co-financing rates or contributions from beneficiaries, depending on whether the project is located in a country eligible for Cohesion Fund support or not. Romania is a beneficiary of the Cohesion Fund during the 2021-2027 period, according to the Commission's website.
The support is coupled with a loan or investment facility from an unnamed financial institution and aside from the installation of electric recharging and hydrogen refuelling stations, the projects also involve the electrification of ground handling services in airports.
The selected projects are provisional and will only become definitive once the EC adopts the corresponding award decisions in the following weeks. The European Climate, Infrastructure and Environment Executive Agency (CINEA) has started the preparation of the grant agreements with the project beneficiaries of the successful projects.
OMV Petrom Marketing is the fuel distribution division of Romania’s oil and gas company OMV Petrom [BSE:SNP], while KMG Rompetrol Development is the local investment vehicle of the Kazakh-Romanian Energy Investment Fund (KREIF) for the retail segment.
Established in October 2018, KREIF is owned by KMG International and the Romanian government. KMG International is the local management division of KMG International Group, the Kazakh entity that owns Romania's Rompetrol Rafinare [BSE:RRC]. The fund's main objective is to support the development of energy projects in Romania.
OMV Petrom's shares traded 0.415 higher at 0.49 lei ($0.106/0.996 euro) as at 1131 CET on the Bucharest Stock Exchange, BVB, on Thursday.
Rompetrol Rafinare's shares traded flat at 0.0845 lei as at 1001 CET on Thursday.
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