LAST MINUTE OMV Petrom reports 43% profit in …

OMV Petrom, the largest oil and gas producer in Romania, reported a 43% decrease in net profits in the first quarter of the year, compared to the similar period in 2019, from 1,151 million lei to 653 million lei. In the hydrocarbon production segment, the operating result collapsed by 81% to 157 million lei, due to the great decrease in market prices for oil and the advance in the depreciation of production assets.

READ ALSO Innovative project in the context of the pandemic: masks, gloves, sanitary alcohol and antibacterial wipes sold through a vending machine, in hygienic conditions and at reasonable prices

In the first 3 months of 2020, OMV Petrom managed to sell its crude oil production at an average price of $ 40.60 / barrel, 27% less compared to the first quarter of 2019. Total hydrocarbon production of the group (including with deposits in Kazakhstan) decreased by 1%, and that of crude oil increased by 2%.

READ ALSO Two high-performance mobile ventilators reached front-line physicians after donations through the “Donate to the First Line” platform

Production cost improved 7% to $ 10.87 / barrel, “mainly due to greater operating efficiency and the favorable effect of the exchange rate,” according to the company’s first quarterly report for 2020.

READ ALSO Life-saving, remote medical consultations in a state of emergency need legislation to continue even after May 15

Gas production decreased by 3%.

READ ALSO Luxury furniture brand Rovere Mobili launched the online store www.rovereshop.ro

“Operating income in the first quarter of 2020 decreased to 830 million lei, compared to 1,288 million lei in the first quarter of 2019, mainly due to the unfavorable market environment, lower prices and the beginning of the crisis generated by COVID-19 that had a negative impact on the group’s performance, “is mentioned in the cited document.

READ ALSO INTERVIEW Bogdan Hristescu, Regional General Manager of Euronet World Wide, on premium in business

The value of consolidated sales revenue increased 12% compared to the first quarter of 2019, to 6,086 million lei, supported by higher sales volumes of natural gas, partially offset by lower goods market prices and lower electricity sales volumes. Downstream Oil sales represented 63% of total consolidated sales, while Downstream Gas sales (gas and electricity) represented 35% and Upstream sales 1% (Upstream sales were largely sales national). group, not third parties), says OMV Petrom.

The refining margin obtained by OMV Petrom improved by 86%, to $ 6.75 / barrel, due to better product differentials, except for medium distillates, as well as the lower price of crude oil. The refinery utilization rate was 96% and retail volumes were 1% higher.

OMV Petrom’s investments increased by 16% in the first quarter of 2020, to 958 million lei.

“In Romania, the production of hydrocarbons was 13.04 million barrels of oil equivalent (boe), respectively 143.3 thousand boe / day (Q1 / 19: 13.31 million boe, 147.9 thousand boe / day respectively). The production of crude oil and condensate in Romania decreased 0.7% to 5.97 million barrels, mainly due to the natural decrease and the transfer of the nine marginal deposits to Mazarine Energy Romania in March 2019. Romania’s natural gas production decreased by 3.2% to 7.07 million boe, influenced by the natural decrease in the main deposits (Totea Deep and Lebăda Est) and by the impact of maintenance works, aspects partially offset by the contribution of exploration well 4461 Totea Sud, that production began in the fourth quarter of 19, and the result of capital repairs, “the report also indicates.

READ ALSO A drastic fine in Hungary was applied to Booking.com for misleading ads and “psychological pressure”. Booking had promised to change, even in Romania, practices considered deceptive

According to OMV Petrom estimates, national demand for natural gas decreased by approximately 2% compared to the same quarter last year. In the centralized markets in Romania, the weighted average price of natural gas for transactions with various standard products concluded in Q1 / 20 (10.7 TWh) was 71 lei / MWh (T1 / 19: 100 lei / MWh for completed standard transactions ). Regarding short-term deliveries, in the market for the following day of CERs, the average price in Q1 / 20 was 66 lei / MWh (Q1 / 19: 107 lei / MWh).

In Q1 / 20, the total volumes of natural gas sold by OMV Petrom increased 52% compared to Q1 / 19, to 18.61 TWh, and the volumes of natural gas sold to third parties were 64% higher than in Q1 / 19. At the end of 1Q / 20, OMV Petrom had 0.3 TWh of natural gas in underground storage, similar to the volume of 1Q / 19.

“OMV Petrom supplied natural gas to the regulated market, delivering 5.52 TWh to households and heat producers for deliveries to households in Q1 / 20, in accordance with the current allocation. In addition, in centralized markets, OMV Petrom sold 4.7 TWh through various standard products in Q1 / 20, at an average price comparable to the market price, “the company also mentions.