BSTDB participates in environmental loan to Petrom

News | 28-Apr-2009

BSTDB will make available a 7-year €25 million loan to finance an environmental investment programme of Petrom S.A., a leading Romanian oil and gas company.

The Petrom’s environmental investment program includes several projects for pollution clean-up, pipeline replacement, health and safety measures that lead to increased energy efficiency.

The funding of the investment program totaling € 475 million is arranged by EBRD and includes also loans from a group of commercial banks.

“As a development bank, BSTDB is happy to support Petrom to rehabilitate the environmental, health and safety performance of its facilities that will reduce the industry’s impact on the environment” said Andrey Kondakov, Vice-President Banking signing the loan agreement.

Along with its important environmental and developmental impact, the operation represents co-financing by two IFIs – EBRD and BSTDB - with commercial banks at the time of credit crunch.

The BSTDB business relationship with Petrom S.A. goes back more than seven years. The previous BSTDB loan has been provided to the Company in 2002 and helped achieve its privatization.