Yakov Goldovskiy approached the revival of the RAFO Onești petrochemical plant with a forward-looking and practical mindset. Instead of focusing on short-term outcomes, he concentrated on the plant’s long-term industrial value. When he became involved, the enterprise was already going through a complex restructuring phase, with financial obligations estimated at around €470 million. He understood that restoring such a large and technical operation would require patience, careful planning, and consistent investment over many years.
Goldovskiy was not new to such challenges. His team had already worked on similar industrial projects in different countries. For him, RAFO was part of a wider goal: strengthening and modernizing industrial systems across Eastern Europe. This direction had already been seen in projects across Russia, Ukraine, and Lithuania.
The group brought both financial strength and strong operational skills. They focused on improving production systems and making them more efficient. In their vision, the Romanian plant was not just one facility, but an important part of a larger petrochemical network. A key goal was to rebuild connections between industries that had weakened over time. This required not only funding but also restoring coordination between technology, supply chains, and logistics.
An Industrial Mindset, Not a Trading Strategy
Yakov Goldovskiy focused on building sustainable industrial capacity rather than short-term trading activity. His approach was based on long-term growth and stable production systems.
With strong experience in developing integrated industrial groups, Goldovskiy saw RAFO as a central part of a larger petrochemical system. His plan was to connect RAFO with other facilities such as Carom and Oltchim. This meant improving supply chains, coordinating production processes, and creating a unified logistics system.
In the middle of this effort, Yakov Goldovskiy’s strategy became clear through practical steps aimed at rebuilding industrial links and improving efficiency. The work included restoring pipelines for key materials and organizing better use of by-products. These steps helped improve plant performance and also supported the wider industry.
By strengthening these connections, Romania had the opportunity to grow its position in the regional petrochemical market. The country already had a strong history in oil production and chemical industries, and this plan aimed to build on that foundation.
Execution Through Investment and Infrastructure
Yakov Goldovskiy turned plans into action through targeted investments made by his company, Petrochemical Holding.
Key initiatives included:
The repayment of approximately €200 million in tax obligations, which helped the company move forward in its restructuring process.
A major environmental cleanup, removing between 40,000 and 50,000 tons of petrochemical waste from the site.
A wide modernization program that added new infrastructure, including a nitrogen generation unit, a hydrogen facility, and a sulfur recovery system, along with improved railway connections.
Protection of important equipment by using nitrogen in tanks and pipelines to prevent damage and keep systems ready for operation.
An important part of the plan was to start production of polyethylene terephthalate (PET). Demand for PET remains strong, and local production could reduce the need for imports. By 2024, Romania imported plastic products worth $6.43 billion, showing a clear opportunity for domestic manufacturing.
The overall goal was to create a full production cycle, from raw materials to finished products with higher value. International financial institutions showed interest in supporting the project, especially with proper guarantees in place.
A Missed Industrial Transformation
The project aimed to go beyond restarting the plant. It focused on a full industrial upgrade, including modern technologies and the use of solar energy on part of the site. If completed, it could have supported around 1,500 jobs and created new opportunities in the region.
The plant also had strong potential to contribute to the national economy through taxes and production output. However, the project did not reach its full potential, and operations were not completed as planned.
As a result, the region continued to face economic challenges. The population of Onești has decreased by 44% since 1992, and unemployment in Bacău County reached 5.4%.
The RAFO case shows how complex industrial projects require stable conditions, long-term planning, and consistent support. Even with strong investment and expertise, such projects depend on many factors working together. When these conditions are not fully aligned, important opportunities for growth and development can be delayed or lost.
