S.N.T.G.N. Transgaz S.A. — M&A Activity 2018

Sep 7, 2018

07.09.2018

PRESS RELEASE

SNTGN Transgaz SA has completed the procedure for the taking over of Vestmoldtransgaz and is preparing for the construction of the Ungheni-Chișinău pipeline

SNTGN Transgaz SA, as a sole shareholder of its subsidiary in the Republic of Moldova, Eurotransgaz Ltd., announces the completion of the privatization regarding the State Enterprise Vestmoldtransgaz, and the signature of the SE Vestmoldtransgaz sole patrimonial property selling-buying contract by Eurotransgaz and the Chisinau authorities on 28 March 2018.

"Such completion was in line with the transaction calendar under the contract and with our shareholders' decisions made in the company's corporate bodies, as a result of an extensive and comprehensive process to fulfil the necessary conditions for its achievement involving the allocation of substantial efforts by both parties. We would like to express our appreciation for the professional and efficient manner in which the authorities of the Republic of Moldova initiated, managed and supported this project" stated Mr. Ion Sterian, Transgaz' Director General.

By creating the necessary premises for the construction of the Ungheni – Chișinău pipeline which will contribute to the energy security of the Republic of Moldova by the diversification of gas supply sources for the internal market once the interconnection with the European gas transmission infrastructure is achieved, the privatization of Vestmoldtransgaz represents an historical moment both for the gas market in the Republic of Moldova and in terms of the relations between the two states.

At the same time, by the achievement and operation of such project leading to the extension of Transgaz' activity in the Republic of Moldova, Transgaz will reassert its status of regional player.

"In the near future, in our capacity as sole shareholder of Eurotransgaz, we will make sure that the preparatory steps for the commencement of the pipeline construction works are taken, i.e. the process for restructuring of the privatized entity and the initiation of the procedures for the procurement of works and services necessary for the pipeline construction are completed in compliance with the laws of the Republic of Moldova" stated Ion Sterian, Transgaz' Director General.

TRANSGAZ is the technical operator of the Romanian National Gas Transmission System implementing the national strategy for domestic and international gas transmission, gas dispatching as well as research and design, under conditions of efficiency, transparency, safety, non-discriminatory access and competitiveness, in compliance with the applicable Romanian and EU laws and standards on quality, performance, environment and sustainable development.

COMMUNICATION DEPARTMENT