GOVERNMENT OF ROMANIA

1
GOVERNMENT OF ROMANIA
MINISTRY OF ECONOMY AND COMMERCE
MOST IMPORTANT PRIVATIZATION PROJECTS 2005
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Privatization of S.C. Electrica Muntenia Sud S.A.

• Subsidiary of SC ELECTRICA S.A.,
• Sector of activity Electricity transport and
  distribution

• Comprises the following counties Bucuresti,
  Ilfov, and Giurgiu
• No. of Clients 1.061.448
• Sales MWh 4.384.362
• Residential Customers 33,0

• Consultant selected for privatization
  PriceWaterhouseCoopers
• Program for 2005 continuation of the
  privatization process based on the Privatization
  strategy approved by the Government

3
Privatization of S.C. Electrica Muntenia Nord S.A.

• Subsidiary of SC ELECTRICA S.A.,
• Sector of activity Electricity transport and
  distribution

• Comprises the following counties Prahova,
  Dambovita, Buzau, Vrancea, Braila and Galati
• No. of Clients 1.204.510
• Sales MWh 4.719.791
• Residential Customers 19,9

• Consultant for privatization to be selected
• Program for 2005 - offer of 10 shares on the
  Stock Exchange Market
• - initiation of the privatization
  process, assisted by an international consultant,
  through a strategy approved by the Romanian
  Government

4
Privatization of S.C. Electrica Transilvania Nord
S.A.

• Subsidiary of SC ELECTRICA S.A.,
• Sector of activity Electricity transport and
  distribution

• Comprises the following counties Cluj,
  Maramures, Salaj, Bihor, Satu Mare and Bistrita
• No. of Clients 1.084.038
• Sales MWh 3.803.413
• Residential Customers 22,9

• Consultant for privatization to be selected
• Program for 2005 - offer of 10 shares on the
  Stock Exchange Market
• - initiation of the privatization
  process, assisted by an international consultant,
  through a strategy approved by
  the Romanian Government

5
Privatization of S.C. Electrica Transilvania Sud
S.A.

• Subsidiary of SC ELECTRICA S.A.,
• Sector of activity Electricity transport and
  distribution

• Comprises the following counties Brasov,
  Mures, Alba, Covasna, Harghita and Sibiu
• No. of Clients 1.019.441
• Sales MWh 3.970.421
• Residential Customers 21,1

• Consultant for privatization to be selected
• Program for 2005 - initiation of the
  privatization process, assisted by an
  international consultant, through a strategy
  approved by the Romanian Government

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Privatization of S.N.G.N. ROMGAZ S.A.

• Activities
• Geological researches for discovering
  hydrocarbons
• Production and supply of natural gas and
  condensate
• Underground storage of natural gas in depleted
  deposits
• Import of natural gas
• Research, deposit engineering and technological
  engineering.

• Key figures
• More than 3600 output wells from which 252 serve
  the activity of underground storage of natural
  gas
• 20 compression stations with an installed power
  of 160.000 kW
• 3 underground warehouses for storage of natural
  gas having an actual capacity of 3 550 mil. m3 /
  cycle
• 15 dry station of natural gas
• More than 1900 km adducting pipes and 1240 km
  collecting pipes
• 460 pipe technological groups
• 30 station for separation and injection of
  residual waters
• 118 injections wells for residual waters

Privatization Program for 2005 - sale of a
majority stake towards a strategic investor, by
selecting an international
financial
consultant that will establish the privatization
strategy
- sale on the Stock Exchange
Market of a share stake of minimum 5 of capital.
7
Projects in the Hydro Power Sector

• S.C. Hidroelectrica S.A.
• unique administrator of the Romanian hydropower
  resources.
• 350 hydropower plants and power pumping stations
  summing up  an installed power of 6288,44 MW
  (from which 81,5 MW in power pumping station)
• power generation in an average hydrological year
  of 17298,35 GWh.

• Privatization and investment attracting program
  for 2005
• it is envisaged private capital attracting
  necessary for modernization and development in
  hydropower sector by setting up structures of
  independent producers type IPP, in which
  Hidroelectrica should contribute with assets from
  hydro power plants that need investment in a
  balanced production mixture. There are under
  negotiation the setting up of 4 (four) such IPP
  structures.
• it will continue the privatization process
  initiated for 8 chains of micro hydropower
  plants, located on River Doftana, River Arges,
  River Manaileasa, River Olanesti, River
  Dambovita, River Targului, as well as for CHE
  Paltinul, through their sale as assets it will
  be also initiated the privatization of other
  chains of micro hydropower in exploitation
• it will be initiated the privatization process
  of the companies for services and maintenance in
  hydro sector Hidroserv.

8
Privatization of S.C. Complexul Energetic TURCENI
S.A.

• Turceni Power Plant
• Installed capacity 2,310 MW
• Current operational capacity 1,260 MW
• Facilities
• Boiler tower type, forced draught, intermediary
  superheating, Babcock license
• Turbine Rateau-Schneider license, 4 cylinders on
  one rotor line
• Generator synchronous, Alstom license, hydrogen
  cooling

The Associated Coal Mines The Turceni TPP is
supplied with lignite from various coalmines that
are within between 15 and 85 kilometres from the
power plant.
Equity ROL thousands 4,567,414,652 as per
1st of April 2004
Total no. of employees 1,313
The hired privatization consultant is preparing
the privatization strategy draft.
9
Privatization of S.C. Complexul Energetic CRAIOVA
S.A.

• ISALNITA TPP
• Installed capacity 2x315 MW
• Current operational capacity 2x300 MW
• Facilities
• Boiler tower type, forced draught, intermediary
  superheating, MAN license
• Turbine Rateau-Schneider license, 4 cilinders on
  one rotor line
• Generator synchronous, Alsthom

• CRAIOVA TPP
• Facilities
• Boiler tower design, forced draught, with the
  following parameters
• Turbine FIL 150 type, Romanian manufacturing,
  three cilinders, 3000 rotations/minute, steam
  extraction at 1.2 bar for district heating,
  condensation at 0.04 bar
• Generator Romanian manufacturing, 150 MW active
  power, 176 MVA apparent power

The Associated Coal Mines The Craiova power
plants are supplied by lignite from various coal
mines that are within a 100 km distance from the
power plants. The mining exploitations included
are Ruget-Seciuri, that has supplied 650,000 tons
of lignite to Craiova TPP and it is placed at a
distance of about 100 km.
Equity ROL thousands 2,096,920,737 as per 1st of
April 2004
Total no. of employees 1,678
The negotiations with the selected privatization
consultant are in progress.
10
Privatization of S.C. Complexul Energetic
ROVINARI S.A.

• ROVINARI TPP
• Installed capacity 1320 MW
• Current operational capacity 860 MW
• Facilities
• Boiler Benson, tower type, forced draught,
  intermediary superheating, ABB Babcock license
• Turbine Rateau Schneider license, 4 cilindres
  on one rotor line
• Generator synchronous, Alsthom license, hydrogen
  cooling

The Associated Coal Mines The Rovinari TPP is
supplied with lignite from various coalmines that
are within 6 Km radius from the power plant.
Rovinari mining aria is situated on the
south-west side of Tg-Jiu town, on the right side
of Jiu River.
Equity ROL thousands 2,227,953,465 as per 31st
of December 2003
Total no. of employees4,035
The negotiations with the selected privatization
consultant are in progress.