At nine months OMV Petrom’s net profit stood at RON 991 M (EUR 223.1 M), down 59 per cent year-on-year. Its sales dropped by 16 per cent to RON 13.62 bln (EUR 3.06 bln), while the international price of oil dropped by 50 per cent compared to its 2014 levels.
“In the first nine months of 2015 the Group’s financial performance was severely affected by the approximately 50 per cent drop in oil prices compared to the same period last year. Against the backdrop of a market environment in which low oil prices could endure, we have decided to lower our estimates on the future price of oil, a decision that has led to downward adjustments for some Upstream assets. The negative effect in the Upstream segment was only partially compensated by the good results registered in the Downstream segment, results that were due to our integrated business model and were backed by the improved refining margins and also by the high demand for products,” OMV Petrom CEO Mariana Gheorghe (photo) stated.
She added that OMV Petrom has continued to limit its capital expenditures and operational costs. The Group’s production of hydrocarbons has remained stable compared to last year, as a result of investments and discoveries that compensated the natural decline and currently low level of investments, Mediafax informs.
“In partnership with ExxonMobil, we have continued the exploration activities in the Neptun Deep bloc – this year we completed four wells and we have started to drill the fifth. We will continue to adjust our level of activity, while at the same time maintaining a solid financial position. Moreover, as we emphasized in the past too, future investments remain dependent on a fiscal and regulatory framework that is stable and favourable for long-term investment, as well as appropriate market fundamentals,” Gheorghe added.
Investments drop 33.1 pc to almost RON 3 bln in first nine months
OMV Petrom investments totalled RON 2.997 bln in the first nine months this year, down by 33.1 per cent year-on-year according to the company’s financial results, Agerpres informs.
“Investments in the Upstream segment (RON 2.790 bln) represented 93 per cent of total investments in the first nine months, being 25 per cent lower year-on-year, the prompt reaction to the oil price drop leading to the prioritization of investments. Upstream investments were channelled toward integrated redevelopment of deposits, major overhauls, the drilling of development wells and to the Neptun Deep project. Investments in Downstream Oil (RON 199 M) dropped significantly compared to the same period last year (RON 694 M), as a result of the completion of the modernization of the Petrobazi refinery. Investments were mainly channelled toward the optimization of the network of oil storage sites (reconstruction works on the terminal in Cluj). Likewise, funds were earmarked for the boosting of efficiency and for falling in line with legal and environment protection requirements,” the company informs.