1. Refining and Petrochemicals - Rompetrol.com

Letter from the CEO
Saduokhas Meraliyev,
CEO of The Rompetrol Group
Refining Letter from and the Petrochemicals CEO « Rompetrol Annual Report 2010 // 3
Dear Partners,
The Oil & Gas industry has always been as volatile as
the raw materials it uses: markets are highly sensible
to serious economic happenings, to significant
local or regional political shifts or to other social
events with large scale implications. Fortunately,
both The Rompetrol Group and its sole shareholder,
KazMunayGas, have one priceless asset, which
outranks any existing ones: their people. Well
prepared professionally, with decades of experience
in their fields of expertise and having the support
of such powerful corporations, I think our people
can achieve wonderful things. Even with all the
difficulties, I believe the company managed to
show that it’s capable of moving forward, constantly
improving its operations and exploring each viable
opportunity.
2010 was a year of change for The Rompetrol
Group and continuous efforts towards expanding
and improving our current assets and businesses.
Through efficient administration of our operations
in Romania, as well as abroad, we managed to
achieve several major objectives. Amongst these
objectives, probably of the utmost importance was
the turnover of the Petromidia Refinery. Scheduled
every four years, the general revision was managed
by our general contractor, Rominserv, and followed
the implementation of 61 new projects. Besides the
turnover, we continued the investment program at
Petromidia, which aims at achieving a processing
capacity of 5 million tons of raw material per year by
2011. To this effect, Rompetrol has invested almost
half a billion dollars until now.
Another big step for the company was the
development of our new management entity,
The Rompetrol Group Corporate Center (TRGCC).
Its main priorities were to optimize the cash flow
and enhance the governance of the businesses,
thus improving the decision making process. The
past years weren’t easy on the company and we’re
doing all that is possible to diminish the effects
of the international financial constraints. The first
step in this direction was made when almost
all the employees from the Romanian entities
were transferred to the new offices at City Gate,
thus improving the communication flow and
management processes in the company.
Even though severely damaged by the reduced
consumption and lower margins, the Retail sector,
which undergoes operations in 6 European
countries, managed to preserve its activities and
keep its financial figures at levels similar to 2009.
At the time being, Rompetrol operates a network
of approximately 1.100 fueling points throughout
Europe, a level very close to the one registered a
year ago. Even though many opportunities arose,
being in an optimization process that involved all
the companies in the Group, many plans made for
2010 had to be scheduled for the upcoming years.
Corporate social responsibility was also an
important component of Rompetrol’s strategy in
2010, the company continuing to provide solutions
to Romania’s health and environment issues. In this
direction, Rompetrol maintained its partnership
with SMURD, the Emergency Medical Service, by
offering the needed fuel for its helicopters. Also, the
company finalized several projects that aimed at
the modernization and rehabilitation of important
hospitals in the country (Sibiu, București).
Still, despite all these accomplishments, I feel
the most interesting part is still to come: the
development of the energetic bridge between
KazMunayGas and The Rompetrol Group. The
possibilities are endless and reviewing the last
years that I’ve spent here, I think that we have the
right amount of potential, enthusiasm and skill
to reach our goals, surpass them and think even
bigger. When two companies such as these work
together, synced at almost every level, options open
at a whole different level: a bridge between two
different countries, two different continents and two
different worlds.
Saduokhas Meraliyev
CEO of The Rompetrol Group
RPT_2010 Annual Report_1024x768.indd 3 22/11/2011 10:34 AM