Following numerous delays in execution, Romgaz terminated the contract with Duro Felguera for CTE Iernut, according to a report submitted to the Stock Exchange.
“Romgaz SA informs shareholders and investors that, following the Contractor’s (DURO FELGUERA) failure to comply with the contractual obligations (including the obligation to execute the works on time), by Decision no. 68 of September 11, 2025, the Board of Directors expressed its agreement to terminate Contract no. 40928/03.04.2023, having as its object “Completion of the works and commissioning of the investment objective Development of CTE Iernut through the construction of a new combined cycle thermoelectric power plant with gas turbines”.
Consequently, on September 11, 2025, S.N.G.N. ROMGAZ S.A has sent the termination notice of the Design and Construction Contract no. 40928/03.04.2023 to the Contractor.
The termination notice will take effect on the 31st day after its receipt by the Contractor.
The National Natural Gas Company Romgaz and Duro Felguera Spain concluded on April 5, 2023 the contract regarding the completion of the works and the commissioning of the investment objective “Development of the Iernut CTE through the construction of a new combined cycle thermoelectric power plant with gas turbines”, worth 344.926 million lei (excluding VAT), which provided for the establishment of guarantees of 17.5 million euros, according to
In March, Romgaz announced: “The contract regarding the completion of the works and the commissioning of the Iernut power plant, concluded between Romgaz and Duro Felguera, was increased, through an addendum, by the amount of 10.487 million lei, representing the value of additional technical assistance services provided by the subcontractor General Electric”.
The Minister of Energy, Bogdan Ivan, recently stated that he wants the termination of the 2023 contract and the execution of the performance guarantee.
The 430 MW power plant in Iernut of the state company Romgaz is 98% complete and should have been ready 5 years ago.
The first contract with the Spanish was concluded in 2016, at a value of 268 million euros plus VAT, the initial deadline for completion and commissioning of the power plant being set for 2020. Due to multiple delays in execution, combined with disagreements with Duro Felguera, the contract was terminated in 2021.