Romgaz
Encyclopedia
Societatea Națională de Gaze Naturale Romgaz SA Mediaș (SNGN Romgaz SA) or simply Romgaz is the largest natural gas
Natural gas
Natural gas is a naturally occurring gas mixture consisting primarily of methane, typically with 0–20% higher hydrocarbons . It is found associated with other hydrocarbon fuel, in coal beds, as methane clathrates, and is an important fuel source and a major feedstock for fertilizers.Most natural...

 producer in Romania
Romania
Romania is a country located at the crossroads of Central and Southeastern Europe, on the Lower Danube, within and outside the Carpathian arch, bordering on the Black Sea...

 and one of the largest in Eastern Europe
Eastern Europe
Eastern Europe is the eastern part of Europe. The term has widely disparate geopolitical, geographical, cultural and socioeconomic readings, which makes it highly context-dependent and even volatile, and there are "almost as many definitions of Eastern Europe as there are scholars of the region"...

. The company is responsible for producing around 40% of the total natural gas consumption in Romania. Its majority stockholder is the Government of Romania
Government of Romania
The Government of Romania forms one half of the country's executive branch . It is headed by the Prime-Minister, and consists of the Ministries, various subordinated institutions and agencies, and the 42 Prefectures...

, which owns 85.01%, with the remaining 14.99% being owned by Fondul Proprietatea
Fondul Proprietatea
Fondul Proprietatea is a joint stock company established by the Romanian state, but which is intended to become entirely private and independent from the state. Its specificity lies in the fact that its purpose and its operations are governed by special legislation...

.

The company is specialised in geological research for the discovery of hydrocarbons, production, storage, commercialization and the supply of natural gas
Natural gas
Natural gas is a naturally occurring gas mixture consisting primarily of methane, typically with 0–20% higher hydrocarbons . It is found associated with other hydrocarbon fuel, in coal beds, as methane clathrates, and is an important fuel source and a major feedstock for fertilizers.Most natural...

 and natural gas condensate
Natural gas condensate
Natural-gas condensate is a low-density mixture of hydrocarbon liquids that are present as gaseous components in the raw natural gas produced from many natural gas fields....

. Romgaz is structured into six branches: two production branches located in Târgu Mureş and Mediaş
Medias
Mediaș is the second largest city in Sibiu County, Transylvania, Romania.-Geographic location:Mediaș is located in the middle basin of Târnava Mare River, at 39 km from Sighișoara and 41 km from Blaj. The health resort Bazna, officially recognized for the first time in 1302, is...

, one underground storage branch located in Ploieşti
Ploiesti
Ploiești is the county seat of Prahova County and lies in the historical region of Wallachia in Romania. The city is located north of Bucharest....

, a special operations branch located in Mediaş, a maintenance branch located in Târgu Mureş and one international office located in Bratislava
Bratislava
Bratislava is the capital of Slovakia and, with a population of about 431,000, also the country's largest city. Bratislava is in southwestern Slovakia on both banks of the Danube River. Bordering Austria and Hungary, it is the only national capital that borders two independent countries.Bratislava...

, Slovakia
Slovakia
The Slovak Republic is a landlocked state in Central Europe. It has a population of over five million and an area of about . Slovakia is bordered by the Czech Republic and Austria to the west, Poland to the north, Ukraine to the east and Hungary to the south...

.

History

On the present-day territory of Romania, the first natural gas deposit was discovered in 1909, in Sărmăşel
Sarmasu
Sărmașu is a town in Mureș County, central Transylvania, Romania. It administers seven villages: Balda, Larga, Moruț, Sărmășel, Sărmășel-Gară, Titiana and Vișinelu.-See also:*Mureș County* List of Hungarian exonyms...

, Mureş County
Mures County
Mureș is a county of Romania, in the historical region of Transylvania, with the administrative centre in Târgu Mureș.-Geography:The county has a total area of 6,714 km²....

 (then in Austria-Hungary
Austria-Hungary
Austria-Hungary , more formally known as the Kingdoms and Lands Represented in the Imperial Council and the Lands of the Holy Hungarian Crown of Saint Stephen, was a constitutional monarchic union between the crowns of the Austrian Empire and the Kingdom of Hungary in...

), further to geological researches on potassium salts. The first gas production was used to power the steam boilers in Sărmăşel and the gas lighting of the alleys in Bazna
Bazna
Bazna is a commune located in Sibiu County, Romania. It is composed of three villages: Bazna, Boian and Velţ...

 resort. The first gas transmission pipeline was built in 1914 covering the 55 kilometres (34.2 mi) between Sărmăşel and Turda
Turda
Turda is a city and Municipality in Cluj County, Romania, situated on the Arieş River.- Ancient times :The city was founded by Dacians under the name Patavissa or Potaissa...

, with the last being the first city in Europe
Europe
Europe is, by convention, one of the world's seven continents. Comprising the westernmost peninsula of Eurasia, Europe is generally 'divided' from Asia to its east by the watershed divides of the Ural and Caucasus Mountains, the Ural River, the Caspian and Black Seas, and the waterways connecting...

 to have public street lights fueld by natural gas in 1916. In 1927 the first natural gas compression station in Europe was built in Sărmăşel. Following the successful gas discovery many foreign companies started to prospect the territories including American, British, French and Austria-Hungarian companies. The American success in the exploitation and usage of natural gas determined the foundation of Societatea Maghiara de Gaz Metan UEG (Hungarian Methane Company) by the Hungarian Ministry of Finances and Deutsche Bank
Deutsche Bank
Deutsche Bank AG is a global financial service company with its headquarters in Frankfurt, Germany. It employs more than 100,000 people in over 70 countries, and has a large presence in Europe, the Americas, Asia Pacific and the emerging markets...

 whose scope of activity was the exploration, exploitation, transmission, distribution and use of natural gas in certain regions within Transylvania. A prodigious period followed for the gas distribution business and the year 1941 marks the construction of the first natural gas pipeline from Măneşti to Bucharest
Bucharest
Bucharest is the capital municipality, cultural, industrial, and financial centre of Romania. It is the largest city in Romania, located in the southeast of the country, at , and lies on the banks of the Dâmbovița River....

, while the following year a main pipeline is built for the transportation of natural gas from Transylvania
Transylvania
Transylvania is a historical region in the central part of Romania. Bounded on the east and south by the Carpathian mountain range, historical Transylvania extended in the west to the Apuseni Mountains; however, the term sometimes encompasses not only Transylvania proper, but also the historical...

 to the capital city. After the unification of Transylvania
Transylvania
Transylvania is a historical region in the central part of Romania. Bounded on the east and south by the Carpathian mountain range, historical Transylvania extended in the west to the Apuseni Mountains; however, the term sometimes encompasses not only Transylvania proper, but also the historical...

 and Romania in 1919 the Direcția gazului natural company is established at Cluj Napoca affiliated to the Ministry of Industry and Commerce in Bucharest
Bucharest
Bucharest is the capital municipality, cultural, industrial, and financial centre of Romania. It is the largest city in Romania, located in the southeast of the country, at , and lies on the banks of the Dâmbovița River....

, which later in 1925 was renamed to Societatea Națională de Gaz Metan SONAMETAN (National Methane Company). The first underground storage facility was operated in 1961, and in 1976 the company's largest natural gas output was realised 29.8 cubic kilometers. In 1991 the company is renamed as Regia Autonomă Romgaz RA and in 1998 it is renamed as Societatea Națională de Gaze Naturale Romgaz SA. In the year 2000 Romgaz is divided into five smaller independent companies: Exprogaz, Depogaz, Transgaz
Transgaz
Transgaz , is a state-owned company, which is the technical operator of the national natural gas transmission system in Romania. The company handled in 2006 a quantity of 15.85 billion m³ of natural gas....

, Distrigaz Sud and Distrigaz Nord
E.ON Gaz Romania
E.ON Gaz Romania is a Romanian supply company in the gas industry, specialising in natural gas supply. The base of the distribution company was laid in 1975...

. In 2001 Exprogaz and Depogaz merge to create SNGN Romgaz SA the current company.

Activity

The production and storage of natural gas is realised by around 3,600 rigs and 20 compression stations. Romgaz ownes a total of 153 commercial reservoirs located in Transylvania
Transylvania
Transylvania is a historical region in the central part of Romania. Bounded on the east and south by the Carpathian mountain range, historical Transylvania extended in the west to the Apuseni Mountains; however, the term sometimes encompasses not only Transylvania proper, but also the historical...

, Moldavia
Moldavia
Moldavia is a geographic and historical region and former principality in Eastern Europe, corresponding to the territory between the Eastern Carpathians and the Dniester river...

 and Muntenia
Muntenia
Muntenia is a historical province of Romania, usually considered Wallachia-proper . It is situated between the Danube , the Carpathian Mountains and Moldavia , and the Olt River to the west...

 with around 75% or 114 being located in Transylvania especially in Mureş
Mures County
Mureș is a county of Romania, in the historical region of Transylvania, with the administrative centre in Târgu Mureș.-Geography:The county has a total area of 6,714 km²....

 and Sibiu
Sibiu County
Sibiu is a county of Romania, in the historical region Transylvania, with the capital city Sibiu.-Demographics:In 2002, it had a population of 421,724 and the population density was 78/km²....

 counties. The company produced in 2009 5.76 cubic kilometers of natural gas and expects a 5% decrease in production for 2010 to around 5.65 cubic kilometers. The company operates several large natural gas fields like Bazna
Bazna gas field
The Bazna gas field is a natural gas field located in Bazna, Sibiu County. It was discovered in 1912 and developed by and Romgaz. It began production in 1915 and produces natural gas and condensates. The total proven reserves of the Bazna gas field are around 71 billion cubic feet , and production...

, Brodina
Brodina gas field
The Brodina gas field natural gas field in Brodina, Suceava County. It was discovered in 2009 and developed by Aurelian Oil&Gas and Romgaz. It began production in 2010 and produces natural gas and condensates...

, Copşa Mică
Copşa Mică gas field
The Copşa Mică gas field is a natural gas field located in Copşa Mică, Sibiu County. It was discovered in 1915 and developed by and Romgaz. It began production in 1920 and produces natural gas and condensates...

, Deleni
Deleni gas field
The Deleni gas field is a natural gas field located in Băgaciu, Mureş County. It was discovered in 1912 and developed by and Romgaz. It began production in 1915 and produces natural gas and condensates. The total proven reserves of the Deleni gas field are around , and production is slated to be...

, Filitelnic
Filitelnic gas field
The Filitelnic gas field is a natural gas field in the Filitelnic village of Bălăuşeri commune, Mureş County, Romania lying in the center of the Transylvanian Basin, a major natural gas producing region. It was discovered in 1958 and is developed by Romgaz. It began production in 1961 and produces...

, Grădiştea
Gradistea gas field
The Grădiştea gas field natural gas field in Grădiştea, Vâlcea County. It was discovered in 2002 and developed by Romgaz. It began production in 2007 and produces natural gas and condensates...

, Laslău Mare
Laslău Mare gas field
The Laslău Mare gas field is a natural gas field in Laslău Mare, Suplac Commune, Mureş County. It was discovered in 1920 and developed by Romgaz and Schlumberger. It began production in 1925 and produces natural gas and condensates...

, Mamu
Mamu gas field
The Mamu gas field is a natural gas field in Mamu, Olt County, Romania lying 57 km south of Slatina. It was discovered in 2006 and developed by Petrom. It began production in September 2007 and produces natural gas and condensates...

, Roman-Secuieni
Roman-Secuieni gas field
The Roman-Secuieni gas field is a natural gas field in Secuieni, Neamţ County, Romania lying of Roman and from Bacău. It was discovered in 1992 and developed by Romgaz. It began production in September 1995 and produces natural gas and condensates...

, Şamşud
Şamşud gas field
The Şamşud gas field is a natural gas field located in Şamşud, Sălaj County. It was discovered in 1915 and developed by and Romgaz. It began production in 1920 and produces natural gas and condensates. The total proven reserves of the Şamşud gas field are around 52 billion cubic feet , and...

, Sărmaşel
Sărmaşel gas field
The Sărmaşel gas field is a natural gas field located in Sărmaşu, Mureş County. It was discovered in 1909 and developed by and Romgaz. It began production in 1912 and produces natural gas and condensates. The total proven reserves of the Sărmășel gas field are around 354 billion cubic feet , and...

, Sighişoara
Sighişoara gas field
The Sighişoara gas field natural gas field in Sighişoara, Mureş County. It was discovered in 2003 and developed by Romgaz and Wintershall. It began production in 2004 and produces natural gas and condensates...

 and Zau de Câmpie
Zau de Câmpie gas field
The Zau de Câmpie gas field is a natural gas field located in Zau de Câmpie, Mureş County. It was discovered in 1915 and developed by and Romgaz. It began production in 1920 and produces natural gas and condensates...

 with combined reserves of 4.351 TCF (112 km³).

Romgaz also operates six underground storage facilities with a combined capacity of 2.76 cubic kilometers. The storage facilities are located in Sărmăşel and Cetatea de Baltă
Cetatea de Balta
Cetatea de Baltă is a commune in Alba County, Romania with a population of 3217. It is located between Târnăveni at 15 kilometers and Blaj at 21 kilometers on the county road DJ 117...

 in Transylvania, Bilciureşti, Bălăceanca, Urziceni
Urziceni
Urziceni is a town in Ialomiţa County, Romania, located around 60 km north-east of Bucharest. It has a population of 17,090.Founded by Romanian shepherds, its name is derived from the word "urzică" . It was mentioned for the first time in a written document on 23 April 1596, during the reign...

 and Gherceşti in Southern Romania. The company also ownes other storage facilities in joint-ventures with other companies like Depomureş in Târgu Mureş and Amgaz in Nadeş
Nades
Nades is a commune in the Allier department and Auvergne region of France.-Population:...

. The largest of the six storages is the Bilciurești facility located 40 km (24.9 mi) North - North - West of Bucharest
Bucharest
Bucharest is the capital municipality, cultural, industrial, and financial centre of Romania. It is the largest city in Romania, located in the southeast of the country, at , and lies on the banks of the Dâmbovița River....

 having a storage capacity of 1.3 cubic kilometers in one cycle and it is located at a depth of 2000 m (6,561.7 ft).

In Romania

Romgaz has extablished partnerships with different companies in a total of 15 petroleum concessions based in Romania. The company has joint-ventures with Wintershall
Wintershall
Wintershall AG is the largest crude oil and natural gas producer in Germany. The company is based in Kassel, Germany. Wintershall is a wholly owned subsidiary of BASF, based in Ludwigshafen. The name Wintershall is derived from the surname of the enterprise co-founder Carl Julius Winter and the...

 in the exploration and development of the RG 03 Transilvania South Block, with Falcon Oil & Gas in the exploitaton of the Brodina
Brodina
Brodina is a commune located in Suceava County, Romania. It is composed of ten villages: Brodina, Brodina de Jos, Cununschi, Dubiusca, Ehreşte, Falcău, Norocu, Paltin, Sadău and Zalomestra....

 and Cuejdiu Blocks, with Amromco Energy in the rehabilitation of 11 gas fields and with Schlumberger
Schlumberger
Schlumberger Limited is the world's largest oilfield services company. Schlumberger employs over 110,000 people of more than 140 nationalities working in approximately 80 countries...

 for the rehabilitation of Laslău-Mare field.

Abroad

In 2008 Romgaz became co-titleholder of petroleum rights and obligations in 3 blocks from Slovakia and 2 blocks from Poland
Poland
Poland , officially the Republic of Poland , is a country in Central Europe bordered by Germany to the west; the Czech Republic and Slovakia to the south; Ukraine, Belarus and Lithuania to the east; and the Baltic Sea and Kaliningrad Oblast, a Russian exclave, to the north...

. Romgaz holds 25% interest share in three exploration blocks from Slovakia, namely Svidník
Svidník
Svidník is a town in eastern Slovakia, acting as the capital of Svidník District in Prešov Region. It has a population of 12,384 .-Geography:...

, Medzilaborce
Medzilaborce
Medzilaborce is a town in northeastern Slovakia close to the border with Poland, located near the towns of Sanok and Bukowsko . Its population is approximately 6,600.-Characteristics:...

 and Snina
Snina
Snina is a town in Slovakia located at the confluence of the Cirocha river and the small river Pčolinka in the valley between the Beskydy foothills and the mountain of Vihorlat. It is the closest town with rail and bus connections to the Poloniny National Park.-History:The oldest written records...

, and an interest share of 30% in two blocks from Poland, namely Torzym
Torzym
Torzym is a town in Sulęcin County, Lubusz Voivodeship, in western Poland, with 2,466 inhabitants . It is the administrative seat of the urban-rural Gmina Torzym...

 and Cybinka
Cybinka
Cybinka is a town in Słubice County, Lubusz Voivodeship, Poland, with 2,700 inhabitants . It is the administrative seat of the Gmina Cybinka.The settlement in the Lubusz Land was first mentioned about 1400, then a part of Brandenburg...

.

In 2010, Romgaz announced that it has acquired stakes in five oil and gas fields located in Iraq
Iraq
Iraq ; officially the Republic of Iraq is a country in Western Asia spanning most of the northwestern end of the Zagros mountain range, the eastern part of the Syrian Desert and the northern part of the Arabian Desert....

.
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