Kazakhs at Rompetrol threaten: This could lead to a diplomatic conflict

KazMunaiGaz, the state-held company that fully controls petroleum group Rompetrol, fights back after the Romanian state has frozen the assets of Petromidia refinery and termed as illegal the partial payment of the 571 million-euro debt and the conversion into shares of the remaining debt.
The Kazakhs say they have come up with several proposals to solve the issue of the debts due in September this year, but have never been given a firm answer by the Bucharest authorities. Moreover, the company says the buyback of shares from the Romanian state, which has now come to control over 44% of Rompetrol Rafinare is a compromise that KazMunaiGaz is making, and by no means an obligation.
"When we first started the talks s at the beginning of the year we thought that we would have a nice partnership. After certain moves, such as the seizure of assets, it's difficult to have this partnership, with the Romanian state in our refinery. That's why we are coming with the proposal to make a buyback if they keep this attitude," says Dmitry Grigoryev, Rompetrol group's chief financial officer.
Moreover, the Rompetrol representative warns, "The current situation could ultimately escalate into a diplomatic conflict."
On the other hand, although the state said it would challenge the decision made by the Kazakhs on the partial buy-back of bonds, citing as a reason the fact that legally they were not allowed to pay only part of the 571 million-euro debt, no concrete measure has been taken so far, beyond threats.