Edison to set up second largest power operation joint venture with Ellenic Petroleum
04 July 2008
Edison and Hellenic Petroleum, Greece's largest hydrocarbon company and the country's top independent electric power operator, have agreed to set up a 50-50 joint venture to operate in Greece's electric power market.
The joint venture's aims to develop, through subsidiaries, a generating capacity of more than 1,500 MW (including 390 MW already operational), a level of output equal to about 12 per cent of the Greek market, becoming Greece's second largest electric power operator and power trader.
The venture may also pursue investments in renewable energy sources in Greece as well as opportunities in power generation and trading in the Balkans.
Founded in 1883, Edison is Europe's oldest energy company. At the end of 2007, it had an installed capacity of about 12,000 MW. During the last five years, Edison has completed one of Europe's most ambitious capital investment plans. In 2007, it had revenues of about 8.3 million euros and earned a net profit of 497 million euros. Its shares are traded on the Milan Stock Exchange and its market capitalization is approximately 8 billion euros.
Between 2008 and 2013, Edison plans to invest about 6.2 billion euros in new generating capacity, hydrocarbon exploration and production and new natural gas transmission and storage facilities. Edison has been present in Greece since 2002 through its Edison Hellas subsidiary.
Founded in 1958, Hellenic Petroleum is the leading player in Greece's hydrocarbon industry with operations in every segment of the hydrocarbon business (E&P, refining and marketing). The Group, which is also active in the engineering and electric power sectors, has assets totaling 4.4 billion euros and is traded on the Athens Stock Exchange with a capitalization of about 3 billion euros. In 2006, it reported revenues of 8.5 billion euros and a net profit of 351 million euros. Hellenic Petroleum's main shareholders are the Greek government (35.5 per cent) and Paneuropean Oil & Industrial Holdings (35.9 per cent).
