The financial results were influenced by the planned shutdown of the Petromidia refinery, between March and May 2024, but also by other factors, independent of its activity - the volatility of quotations for raw materials (crude oil, biocomponent) and petroleum products, respectively the evolution of refining margins, recorded at international level.

“The Petromidia and Vega refineries are operating at optimal capacity, at a level that we anticipated after the resumption of operational processes, following the completion of all works during the general turnaround. It has been a difficult project with many important actions, but one that ensures we operate at high standards of efficiency and safety. The efforts were reflected in the activity in the third quarter, which shows us the upward trend, also supported by the works carried out in the turnaround,” said Florian Pop, General Manager Rompetrol Rafinare.

The company reconfirms its commitment to support stability in the energy sector, almost 70% of the total fuels obtained between January and September 2024 being directed to the domestic market.

The total value of exports made by Rompetrol Rafinare (through the refining and petrochemical divisions) in the first 9 months of the year, amounted to $701 million, with almost one million tons of oil products exported in January - September 2024.

Rompetrol Rafinare is one of the largest contributors to the state budget, $456 million in Q3 2024, respectively $1.12 billion paid in the first 9 months of 2024. Of the total, $30.3 million represents the solidarity contribution for 2023, and $6.1 million represents the turnover tax, related to the first half of 2024.

Rompetrol Rafinare took note of the legislative initiative under promulgation, which would substantially increase the turnover tax and affect the company's activity. Rompetrol Rafinare is taking all the necessary steps to maintain its position on the profile market, in a difficult fiscal context, in which the pressure of overtaxation influences long-term operational and investment capacity.

Refining segment

In the first 9 months of 2024, the refining segment achieved a gross turnover of $3 billion and an operational profit (EBITDA) of $94.2 million. Regarding the third quarter, the gross turnover recorded an 11% increase from $1.14 billion in Q3 2023 to $1.27 billion in Q3 2024.

European refining margin fluctuated massively between January and September 2024, averaging $69.35/MT, down 35% year-on-year. The lowest level was recorded in July-August 2024 ($13.8/MT), similar to February 2022, amid weak demand and increased product inventories.

In the first 9 months of 2024, Brent crude oil quotations averaged $82.8/bbl and CPC crude oil quotations averaged $79.5/bbl. Fluctuations for Brent crude were significant, from $93.3/bbl at the start of the year to around $70.56/bbl in September, the lowest level since December 2021.

Concerning the operational activity of the Petromidia refinery, the general turnaround, as well as the non-operation of the Mild Hydrocracking (MHC) unit in the first quarter of the year, led to a decreased refining capacity utilization, to 74.4% in the first 9 months of 2024. Q3 2024, characterized by the optimal operation of units, recorded a degree of utilization of 90.3%.

The general turnaround of the Petromidia refinery represented a major financial and operational effort, aimed at maintaining an optimal level of refinery operation, in the best conditions of safety and security at work. About $85 million were invested in the development programs alone, which included modernization projects in Petromidia's main units.

Between January and September 2024, Petromidia processed 3.16 million tons of raw materials, a decrease of 18% compared to the first 9 months of 2023. From the total amount, 818 thousand tons of gasoline and 1.7 million tons of diesel fuel & jet (aviation fuel) were obtained.

Despite the factors that influenced the operational activity, Petromidia managed to achieve an increasing white product yield - 86.83%wt (2.72% increase compared to January - September 2023), and the technological loss was 0.7%wt.

Regarding the Vega refinery (the only domestic producer of bitumen and hexane), the total volume of raw materials processed was about 203 thousand tons in the first 9 months of 2024, down 29% compared to the same period last year, a level directly determined by the low quantities of components received from the Petromidia refinery.

Vega refinery recorded good operational parameters, with a technological consumption of 0.81%, an energy consumption of 2.62 GJ/t and a mechanical availability of 98.8%.

Petrochemicals segment

In the first 9 months of 2024, total polymer production was 57 thousand tons, down compared to the same period last year, when 90 thousand tons were produced.

The operational results were influenced by the scheduled turnaround, which started in March 2024, and the non-operation of the low-density polyethylene (LDPE) unit, due to unfavorable market conditions.

The petrochemical segment adapted its operational flows according to the current demand for products, and by adapting the production recipes in the refining segment, it was possible to halve the losses in January - September 2024, compared to the same period last year.

The only petrochemical division in Romania continued to honor its deliveries to partners in the relevant industries, thus supporting several production segments in the country. The only domestic producer of polypropylene and polyethylene constantly analyzes the market context, being ready to regain its competitive position once the profile market stabilizes.

Distribution segment

In January - September 2024, the consolidated gross turnover of the distribution segment registered $2.43 billion, slightly less compared to the first 9 months of 2023.

The operational profit (EBITDA) of the segment remained at a level similar to last year - $64.6 million, and the net result was positive, around $9.5 million.

International quotations of oil products recorded a decrease compared to the same period last year, by 5%, both for gasoline and diesel.

Sales in the retail segment registered an increase of 8% and reached 910 thousand tons of fuels in Romania, the main market for the products obtained at the Petromidia refinery. The increase was determined by the sales strategy through which Rompetrol Rafinare directs most of the products to the domestic market.

Wholesale sales decreased by 38% in the first 9 months of 2024, standing at 386 thousand tons. The decreasing quantities sold were determined both by Petromidia refinery not operating at optimal capacity in the first part of the year, but also by the growing volumes of finished products coming from outside the EU, at low prices, compared to the products obtained in European refineries.

At the end of June 2024, the distribution network in Romania reached 1,328 sales points. The network includes its own stations, partner stations and mobile stations: express, internal bases of 9 and 20 cubic meters.