Omv Petrom Sa · BVB:SNP
Omv Petrom Sa — Q1 2021 Earnings Presentation
16 slides from Omv Petrom Sa's earnings presentation, Apr 29, 2021
Slide 1: OMV Petrom Q1/21 Results
OMV Petrom Q1/21 Results Christina Verchere, CEO April 29, 2021
Slide 2: Legal Disclaimer
Legal Disclaimer This presentation does not, and is not intended to, constitute or form part of, and This presentation may contain forward-looking statements. These statements reflect should not be construed as, constituting or forming part of, any actual offer to sell or the Company’s current knowl
Slide 3: Improving economic environment
Improving economic environment Oil price (USD/bbl) and FX (RON/USD) OMV Petrom indicator refining margin (USD/bbl) 4.8 4.8 4.8 4.9 4.9 6.75 4.0 4.4 4.4 4.1 4.1 61.1 50.1 43.4 44.4 60.0 2.80 29.9 1.85 2.00 48.1 44.2 42.9 29.6 0.94 Q1/20 Q2/20 Q3/20 Q4/20 Q1/21 Avg Urals price in USD/bbl (left axis) A
Slide 4: Romanian environment shows early signs of recovery
Romanian environment shows early signs of recovery FISCAL AND REGULATORY FRAMEWORK MACROECONOMIC ENVIRONMENT Authorities’ reaction to COVID: GDP growth: • Q4/201: -1.8% yoy; 20201: -3.9% yoy • State of alert prolonged until mid-May • 2021e2: +6.0% yoy • Vaccination program ongoing CPI inflation: • H
Slide 5: Key messages Q1/21
Key messages Q1/21 Clean CCS Operating Operating Cash Clean CCS Financial result Flow ROACE resilience RON 0.7 bn RON 1.2 bn 5.7% -33% yoy -15% yoy 12.5% in Q1/20 • Hydrocarbon production decline broadly in • Neptun: ready to act as Operator for line with expectations Neptun Deep Block1 Sound Furthe
Slide 6: Sound operational performance in a challenging market environment
Sound operational performance in a challenging market environment Upstream Downstream Oil Downstream Gas Hydrocarbon production (kboe/d) Refinery utilization rate (%) Gas sales volumes (TWh) -8% -2% -1% 0% 96 -23% -6% 150 147 141 140 96 18.61 139 95 72 14.36 71 69 67 67 13.06 13.25 12.11 89 79 76 73
Slide 7: CAPEX and E&A – Cautious approach in a volatile market
CAPEX and E&A – Cautious approach in a volatile market Group organic CAPEX* Organic CAPEX (RON bn) Q1/21 at RON 0.6 bn: 12 new wells and sidetracks -28% -28% ~200 workovers 4.2 Projects in the tank farm area in the Petrobrazi refinery Preliminary works for coke drums replacement at Petrobr
Slide 8: Increasing focus on sustainability
Increasing focus on sustainability GHG intensity index Social involvement 2020 vs 2010: -26% 2020: EUR 6 mn invested Q1/21: downward trend continued Support for ~350 communities Energy efficiency Diversity 2020: EUR 36 mn invested 2020: diverse, inclusive and talented workforce Q1/21: G2P 1.75 MW in
Slide 9: Increasing focus on sustainability
Increasing focus on sustainability GHG intensity index Social involvement 2020 vs 2010: -26% 2020: EUR 6 mn invested Q1/21: downward trend continued Support for ~350 communities Energy efficiency Diversity 2020: EUR 36 mn invested 2020: Diverse, inclusive and talented workforce Q1/21: G2P 1.75 MW in
Slide 10: Income Statement: lower contribution from Downstream Oil, higher from Upstream and Downstream Gas
Income Statement: lower contribution from Downstream Oil, higher from Upstream and Downstream Gas Clean CCS Operating Result (RON bn) Q1/21 Clean CCS Operating Result evolution reflects: -33% -33% 0.98 ► Higher oil prices 0.65 0.47 ► Lower refining margin ► Increased contribution in both gas and p
Slide 11: Clean CCS Operating Results: improved realised oil prices and weaker refining margins
Clean CCS Operating Results: improved realised oil prices and weaker refining margins Upstream (RON mn) Oil price +25% Lower depreciation 311 -126 42 Lower exploration expenses 210 29 157 Hydrocarbon sales -8% Q1/20 Market Volume Exploration Other Q1/21 Lower gas price effects Negative F
Slide 12: Cash Flow: higher commodity prices impact net working capital
Cash Flow: higher commodity prices impact net working capital Cash Flow from Operating Activities (RON bn) -15% -15% 1.4 1.2 1.2 1.5 1.0 1.6 Q1/21 CFO: in line with Operating Result -0.1 0.2 -0.4 Net working capital: mainly reflects higher commodity prices Q1/20 Q4/20 Q1/21 Sources of funds Net
Slide 13: Outlook: 2021 oil price estimate revised upwards
Outlook: 2021 oil price estimate revised upwards Assumptions/ Targets Assumptions/ Targets Indicators Actual 2020 2021 2022-2023 averages USD 60-65/bbl Brent oil price USD 41.84/bbl USD 60/bbl (prev. USD 50-55/bbl) Production 145 kboe/d Decline ~5% yoy1 Decline ~5% yoy1 Refining margin USD 2.9/bbl >
Slide 14: Q&A
Increasing focus on sustainability GHG intensity index Social involvement 2020 vs 2010: -26% 2020: EUR 6 mn invested Q1/21: downward trend continued Support for ~350 communities Energy efficiency Diversity 2020: EUR 36 mn invested 2020: Diverse, inclusive and talented workforce Q1/21: G2P 1.75 MW in
Slide 15: Increasing focus on sustainability
Increasing focus on sustainability GHG intensity index Social involvement 2020 vs 2010: -26% 2020: EUR 6 mn invested Q1/21: downward trend continued Support for ~350 communities Energy efficiency Diversity 2020: EUR 36 mn invested 2020: Diverse, inclusive and talented workforce Q1/21: G2P 1.75 MW in
Slide 16: Sensitivities in 2021
Sensitivities in 2021 OMV Petrom Group main sensitivities Operating Result impact Brent oil price USD +1/bbl ~EUR +20 mn Equity gas price EUR +1/MWh ~EUR +20 mn OMV Petrom indicator refining margin USD +1/bbl ~EUR +25 mn Exchange rates (EUR/USD) USD appreciation by 5 USD cents ~EUR +35 mn 16 | OMV P