Austria's OMV sees over $220 mln impact from Libyan oilfield disruptions in Q3
Adds chemicals margins in paragraph 5, context in paragraph 6, share move in paragraph 7, analyst comment in paragraph 8
By Tristan Veyet and Isabel Demetz
Oct 8 (Reuters) -Austrian oil and gas group OMV OMVV.VI said on Tuesday it expected an impact of more than 200 million euros ($220 million) on its third-quarter clean operating result following oil production disruptions in Libya.
Libya's eastern-based government and Tripoli-based National Oil Corp (NOC) announced on Thursday the reopening of all oilfields and export terminals after a dispute over leadership of the central bank was resolved.
NOC had declared force majeure on Aug. 7 at the Sharara oilfield - one of Libya's largest production areas with a capacity of about 300,000 barrels per day - and on the Elfeel oilfield on Sept. 2.
OMV said it expected several one-offs and decreasing refining margins in its fuels and feedstock business to have a negative impact of mid-to-high double-digit million euros on the unit's clean operating result.
A clean operating result is based on the current cost of supply, and excludes one-off items and short-term gains and losses from energy inventory holdings.
It however recorded higher margins at its chemicals unit, with indicators for ethylene, propylene, polyethylene and polypropylene rising from the previous quarter's level.
OMV's chemicals division, viewed as a growth engine for the company as it seeks to move away from polluting fossil fuels, produces chemicals used in gas and water pipes, car parts and medical syringes, among other things.
OMV's stock was down 1.9% at 0710 GMT.
"3Q24 looks slightly weaker than 2Q24 period mainly due to weaker refining environment and missing Libyan production," Erste Group wrote in a note following the results.
The company added its average realised prices for energy were mixed in the July-September quarter, weakened by the average price of crude oil that fell 3.8% compared to the prior three months.
Average realised price for natural gas meanwhile rose 7.3% to 24.9 euros per MWh, it said.
($1 = 0.9105 euros)
Reporting by Tristan Veyet and Isabel Demetz in Gdansk, editing by Milla Nissi and David Evans
Related Assets
Latest News
Disclaimer: The XM Group entities provide execution-only service and access to our Online Trading Facility, permitting a person to view and/or use the content available on or via the website, is not intended to change or expand on this, nor does it change or expand on this. Such access and use are always subject to: (i) Terms and Conditions; (ii) Risk Warnings; and (iii) Full Disclaimer. Such content is therefore provided as no more than general information. Particularly, please be aware that the contents of our Online Trading Facility are neither a solicitation, nor an offer to enter any transactions on the financial markets. Trading on any financial market involves a significant level of risk to your capital.
All material published on our Online Trading Facility is intended for educational/informational purposes only, and does not contain – nor should it be considered as containing – financial, investment tax or trading advice and recommendations; or a record of our trading prices; or an offer of, or solicitation for, a transaction in any financial instruments; or unsolicited financial promotions to you.
Any third-party content, as well as content prepared by XM, such as: opinions, news, research, analyses, prices and other information or links to third-party sites contained on this website are provided on an “as-is” basis, as general market commentary, and do not constitute investment advice. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, it would be considered as marketing communication under the relevant laws and regulations. Please ensure that you have read and understood our Notification on Non-Independent Investment. Research and Risk Warning concerning the foregoing information, which can be accessed here.
