Vienna, July 30 - Neftegaz.RU. OMV, the integrated, international oil & gas company based in Austria, announced that net profit and sales dropped in the Q2 due to a challenging market environment and extremely volatile prices.
's profits plummeted in the Q2 to EUR 24 million compared with EUR 543 million for the Q2 2019. The company's debt gearing increased from 14% at the end of Q2 2019 to 21% at the end of the Q2, reflecting its purchase of a 15% stake in ADNOC's refining business in a "strategic partnership" last year, it said.
In addition, performance was still restricted by the unplanned delay of the maintenance turnaround at the Ruwais refineries
. The Trading JV is currently in the set-up phase.
OMV´s total hydrocarbon production decreased by 26 kboe/d to 464 kboe/d. Force majeure in Libya and slightly lower production in Romania and Austria were to some extent counterbalanced by higher output in Malaysia, Norway,and the UAE.
OMV said it had cut its proposed dividend for 2019 from €2 to €1.75/share.
OMV expects total production to be between 450 kboe/d and 470 kboe/d in 2020
, depending on the security situation in Libya and imposed production cuts by governments.
For the year 2020, OMV expects the average Brent crude oil price to be at $40/bbl (2019: $64/bbl). In 2020, the average realized gas price is now anticipated to be lower than EUR 10/MWh (2019: EUR 11.9/MWh).