11.05.2011
Eustream increased volume of transmitted gas by 5 billion cubic meters
The company eustream, a.s. transmitted a total of 71.4 billion m3 of natural gas in 2010, which is 5 billion m3 more than in 2009. More than 90% of the transported volume headed outside of Slovakia. Since the beginning of transit through the territory of Slovakia 40 years ago, Eustream has transmitted more than 2 trillion m3 of natural gas. In 2010 Eustream generated positive economic results, despite the prevailing consequences of the global economic crisis.By responsible operation of the high-pressure transmission network Eustream preserved its position as the largest “highway” for the transmission of Russian natural gas to Europe. “We successfully fulfilled our mission to be a bridge to the EU and also a gas turntable in Central Europe. We managed to improve also our financial performance”, underlined Chairman of the Board of Directors of Eustream, Antoine Jourdain.
To the maximum possible extent Eustream adapted to the changing specifics and needs of the market. This reflected also in an increased number of short-term cross-border transactions between trading points in Europe. Whereas transmission was previously founded chiefly on large contracts for longer periods, today Eustream also has tens of smaller contractual partners who transmit large volumes over shorter periods. It is only natural that the company Eustream is interested in continuing to boost this development further, which is also the reason for extending the commercial offer to include other new services and products so that the transmission system in Slovakia offers the open market much broader possibilities of use. This ambition reflected in initiatives linked to the establishment of cross-border gas interconnections, and also the modernisation and technological redesign of the transmission system.
Safety and reliability come first
Eustream contributes to the safe and reliable supply of natural gas to Central and Western Europe by continually modernising its infrastructure. “We feel responsibility for the future. In the next five years Eustream therefore plans to invest more than EUR 400 million, a large part of which is earmarked for new and ecological technology. The aim is to minimise the impact that operation of the transmission network has on the natural environment and to increase the reliability and safety of our facilities”, added member of the Board of Directors of Eustream, Andreas Rau.
Eustream is aware of the importance of having hundred-percent reliable technical equipment that makes up the transmission system. “In 2010 the company therefore reinforced the reliability and safety of the system by putting two new 31 MW compressors from GE Oil & Gas into service at the compressor station in Veľke Kapušany. At the same time, we concluded a contract with Rolls Royce for the supply of two more machines, which will be installed in Veľké Zlievce”, explained Pavol Janočko, General Director of Eustream. The company continues to increase the security and diversification of gas supplies and at present it is capable of using the reverse flow mode, both within Slovakia and at the borders with Austrian (Baumgarten) or Czech (Lanžhot) transmission system operators.
Eustream strengthens cross-border transmission capacities
The cross-border activities of Eustream do not end with securing reverse flow. The company continually supports new possibilities of connection to new gas transmission systems and routes as it fully realises their necessity in an international and security context. An important requisite for the diversification of sources and routes is the arrangement of the North-South corridor. In this respect, the Slovak-Hungarian route is of particular significance.
The project of the gas interconnector between Slovakia and Hungary moved into the closing phase of preparations in 2010. The planned gas pipeline with a length of approximately 115 kilometres should connect up the Slovak high-pressure gas line near Veľké Zlievce with the Hungarian transmission system near the municipality of Vecsés in the suburbs of Budapest. “Interconnection with the Hungarian transmission system not only diversifies routes and boosts the security of the whole Central European region, but the project also enables future connection to prepared European gas projects, such as Nabucco, South Stream or the LNG terminal in Croatia”, said Chairman of the Board of Directors of Eustream, Antoine Jourdain, on the importance of the project. The European Union has a similar opinion, having financially supported the project as part of the European Energy Programme for Recovery. Intensive co-operation continues also with the Czech Republic and Poland.
Third Energy Package
The greatest organisational changes were undertaken by Eustream as part of implementation of the so-called 3rd Energy Package. The aim is to strengthen the independence of gas transmission system operators from affiliated companies in vertically integrated undertakings. The new rules of the European directive have to be put into practice by energy companies by 3 March 2012 at the latest. Eustream is currently in the final phase of complete administrative, commercial and legal unbundling from the parent company SPP, i.e. in several months it will become a completely independent gas transmission operator with its own human and financial resources.
Already at present Eustream enables transparent and indiscriminate access to the transmission network for all its customers. In 2010 the company accommodated all requests for access, whereby it set out to achieve this goal also for the future. Eustream develops investment and technical measures aimed at modernisation of the system and it works on extending the offer of its products. Upon its activities the company focuses every step of the way on continually increasing the quality of services for its customers – shippers, from first contact through to daily performance of dispatching activities. The business partners of Eustream are key energy companies from EU member and non-member states.
Economic and financial results
The year 2010 produced important development in commercial activities for Eustream. The main source for the generation of revenues was the contracting of transmission capacities. The profit of the company increased year-on-year by more than one hundred million euro.
Comparison of revenues, costs and profit (in EUR mill.)
|
|
2010 |
2009 |
|
Revenues from sale of products and services |
826.47 |
742.91 |
|
Operating costs |
-593.05 |
-646.72 |
|
Profit from financial operations before tax |
0.78 |
1.16 |
|
Profit before tax |
234.20 |
97.35 |
|
Income tax |
-45.91 |
-18.68 |
|
Profit after tax |
188.29 |
78.67 |