Slide 1: OMV Petrom Q1/18 Results
OMV Petrom Q1/18 Chapter divider slide: Design must Results be alike to chosen cover style (28pt) May 3, 2018
Slide 2: Legal Disclaimer
Legal Disclaimer This presentation does not, and is not intended to, constitute or form part of, This presentation may contain forward-looking statements. These statements and should not be construed as, constituting or forming part of, any actual reflect the Company’s current knowledge and its expe
Slide 3: Key messages Q1/18
Key messages Q1/18 Upstream: production 162 Free cash flow of RON 729 mn kboe/d, -5% yoy; OPEX USD 11.89/boe, +13% yoy Clean CCS Operating Result at RON 958 mn Downstream Oil: refining margins USD -1.0/bbl yoy; retail sales volumes +1% yoy Clean CCS EPS up 28% yoy Downstream Gas: gas sales volumes -
Slide 4: Economic environment
Economic environment Romania Oil price (USD/bbl) and FX (USD/RON) 67 Q4/17 GDP growth1: 6.9% yoy; Q1/18 CPI1: 5% yoy 61 54 52 Demand Q1/18 yoy: Fuels2: +1.8%; Gas3: stable; 50 65 52 61 Power4: +3% 48 51 4.25 4.14 Offshore Law in approval process; expected new 3.79 3.90 3.92 draft Royalty Law Q1/17 Q
Slide 5: Operational KPIs
Operational KPIs Upstream Downstream Oil Downstream Gas OPEX OMV Petrom Indicator Gas sales volumes (USD/boe) refining margin (USD/bbl) (TWh) +13% +13% -13% -13% -8% -8% 12.44 11.89 15.50 10.52 10.42 8.75 13.41 14.20 10.23 8.51 11.79 7.58 10.70 6.16 6.56 Q1/17 Q2/17 Q3/17 Q4/17 Q1/18 Q1/17 Q2/17 Q3/
Slide 6: Cash Flow highlights
Cash Flow highlights Operating Cash Flow Q1/18 OCF1 up due to higher Operating Result (RON bn) +42% Q1/18 NWC2: cash inflow RON 22 mn 1.51 1.80 1.26 Q1/17 NWC2: cash outflow RON 176 mn Q1/17 Q4/17 Q1/18 Investing Cash Flow (net outflow, RON bn) Q1/18 CAPEX more than double yoy +73% 1.07 CFI3 followi
Slide 7: Income Statement highlights
Income Statement highlights Clean CCS Operating Result Clean CCS Operating Result reflects: (RON bn) +25% ► Market conditions (prices, demand) 0.96 0.77 ► Strict cost discipline 0.57 ► Lower exploration expenses Q1/17 Q4/17 Q1/18 Clean CCS Net Income1 Clean CCS Net Income higher: (RON bn) +28% ► Eff
Slide 8: Upstream Clean Operating Result supported by higher realized prices
Upstream Clean Operating Result supported by higher realized prices Upstream Clean Operating Result Key drivers Q1/18 vs. Q1/17 (RON mn) 645 Higher realized oil prices, +27% -116 19 19 263 Lower total production costs 460 Lower exploration expenses Negative FX development Q1/17 Market effects Volume
Slide 9: Downstream Clean CCS Operating Result: operational performance offset market effects
Downstream Clean CCS Operating Result: operational performance offset market effects Downstream Clean CCS Operating Result Key drivers Q1/18 vs. Q1/17 (RON mn) 311 321 Improved power business -132 142 Higher fuel sales following increased retail 243 280 demand 78 Lower refining margins 32 Q1/17 Mark
Slide 10: CAPEX and E&A
CAPEX and E&A Group CAPEX incl. capitalized E&A CAPEX incl. capitalized E&A (RON bn) Q1/18 at RON 0.8 bn: 22 new wells and sidetracks drilled 3.7 ~230 workovers performed 2018E maintained at RON 3.7 bn: Drilling >100 development wells and sidetracks 0.8 ~1,000 workovers Refinery turnaround; Polyfuel
Slide 11: Outlook 2018
Outlook 2018 Indicators Actual 2017 Assumptions/Targets 2018 Brent oil price USD 54/bbl USD 68/bbl (previous: USD 60/bbl) Refining margin USD 7.75/bbl <USD 7.75/bbl Production 168 kboe/d ~ -4% yoy1 CAPEX RON 3.0 bn RON 3.7 bn FCF after dividends RON 2.7 bn positive 1 Not including portfolio optimiza
Slide 12: OMV Petrom
GA OMV Petrom