OMV Petrom S.A. is a Romanian integrated oil company, controlled by Austria'sOMV.[1] It is one of the largest corporations in Romania and the largest oil and gas producer in Southeast Europe.[2] Since 2004 it is a subsidiary of OMV.[3] With 2022 profits of EUR 12.5 billion, as of 2023, OMV Petrom is the largest company in Romania.[4]
In late 2004, Petrom was privatized by the Romanian state and sold to Austrian oil company OMV, which acquired of the previous SNP Petrom SA. As of 2005[update], it was the largest privatization deal in Romania's history.[2]
In January 2006, Petrom purchased OMV's operations in Romania, Bulgaria and Serbia and Montenegro.[6] As a result of the transaction, the gas station networks of OMV were transferred to Petrom, but continued to operate under the OMV brand.[7]
From 1 January 2010, the company changed its name to OMV Petrom.[8]
In April 2010, OMV Petrom expanded the portfolio of its projects, in terms of electricity production, through the acquisition of 100% of the SC Wind Power Park SRL, a developer of the Dorobanţu Wind Farm.[9]
On May 18, 2010, OMV Petrom announced the conclusion of an offshore campaign in the Lebăda Est and Lebăda Vest fields, located at the Histria block in the Black Sea. Following this offshore campaign, additional production of more than 300,000 boe was expected in 2010, from two existing wells (LO2 and LO4) and a new well drilled (LV05).[10]
On June 1, 2010, OMV Petrom announced the start-up of the Hurezani gas delivery system, a project intended to optimize gas delivery into the national transportation network in periods when pressure in the system was very high.[11]
On July 12, 2010, OMV Petrom announced the signing of a 15-year production enhancement contract for several fields in the area of Țicleni, Southwest Romania, with Petrofac, a leading international provider of facilities solutions to the oil and gas production and processing industry. Petrofac will perform services in the respective fields in order to maximize production while improving operational efficiency. The partnership targets cumulative production enhancement out of nine onshore fields in the Țicleni area by at least 50% in the next five years.[12]
On September 6, 2010, OMV Petrom announced the sale of the 74.9% stake in Ring Oil (Russia) to its minority partner Mineral and Bio Oil Fuels Limited (MBO).[13]
From October 1, 2010, OMV Petrom has completed the consolidation of marketing activities in Romania in a single entity, OMV Petrom Marketing SRL.[14]
PetromCity, located in northern Bucharest, serves as the company headquarters
On December 2, 2010, OMV Petrom inaugurated Petrom City, the headquarters that hosts the company's central operations. Situated in the northern part of Bucharest, it will be used by around 2,500 employees from 7 headquarters of the company in Bucharest and Ploiești. The employee relocation process started in the fourth quarter of 2010 and was estimated to be finalized in the first half of 2011.[citation needed][needs update]
In 2010, OMV Petrom inaugurated the Hurezani gas delivery system, designed to optimize gas supply to the national transport network. The system included a new compressor station at Bulbuceni, and 11.5 kilometres (7.1mi) of new pipe station. There was a new measurement system of the gas delivery point Hurezani, to adapt to changing parameters of the gas flow and pressure. The total investment budgeted amounted to about 135 million euros.[citation needed]
OMV Petrom ceased importing Russian crude oil in April 2022, stating that it would instead buy crude oil for its refinery from other sources even if prices were more expensive. At the time, it was the largest energy company in Romania.[15] Romanian investment fund Fondul Proprietatea sold the entirety of its shares in OMV Petrom in December 2022. The stake equated to roughly 2.9% of OMV Petrom's overall value, at $$159.45 million. OMV Petrom remained primarily owned by OMV in Austria.[16] In early 2023, the company reported that it had revenues of RON 61.3 billion (EUR 12.5 billion) in 2022, which was 2.4 times higher than revenues in 2021. At the time, it was the largest company in Romania.[4]
In February 2023 Christina Verchere remained CEO of OMV Petrom, stating the company was "closer than ever" to beginning construction on its Neptun Deep gas project in the Black Sea, with a final financial decision about the project to be made by OMV in the middle of 2023. First gas extractions were expected for 2027.[17] With the aim of including OMV Petrom among the companies required to pay significant profits to the Romanian government, in March 2023, it was reported that lawmakers and government members in Romania were working on "amending the solidarity contribution calculation methodology." OMV Petrom had previously declared it was not liable to pay the solidarity contributions, due to existing regulations.[18] For companies that produce and refine crude oil, the 2022 Romanian solidarity law introduced to take surplus profits, gave the obligation to pay RON 350 for each tonne of crude oil processed in 2022 and 2023.[19]
Operations
Apart from its operations in Romania, the company operates in Bulgaria, Serbia, Hungary, Moldova, Kazakhstan, Iran and Russia. In Moldova, OMV Petrom has operated 73 filling stations, being one of the leading oil companies, alongside Lukoil. In Hungary, there have been at least 2 OMV Petrom filling stations.
In 2007 the company produced 5.5billion cubic metres (190billion cubic feet) of natural gas and 191,000 barrels per day (30,400m3/d) of crude oil.[20]
Privatization controversy
The OMV Petrom privatization took place during the last months of the Adrian Năstase government. In December 2004, OMV obtained a 51% stake in SNP Petrom SA.[21]
Major Romanian newspapers published articles criticising the privatization of Petrom, on the grounds that last-minute unadvertised moves gave Petrom all of Romania's oil and gas reserves just before the privatization contract was signed. It was claimed that this move gave away the control of the country's national resources[22]
As a consequence, OMV Petrom has a de facto monopoly on the oil production of Romania. Moreover, the state did not impose price controlling clauses in the privatization contract, so that Romanian-produced petroleum is sold in Romania at the same price as imported petroleum.[citation needed]
OMV Petrom Bucharest International Half Marathon
The second edition of OMV Petrom Bucharest International Half Marathon (2013) was organized by Bucharest Running Club Association in cooperation with the Romanian Athletic Federation and Bucharest City Hall. Petrom supported the second edition of the half marathon as leading sponsor.
Over 6.000 people from 43 countries have run at this edition of the event.
The second edition of OMV Petrom Bucharest International Half Marathon took place on 19 May in Constitution Square, Bucharest. The competition included 4 competitive races: half marathon (21.097km), team relay (4 x 5.3km) individual race (10.5km), popular race (3.5km) and one uncompetitive race, kids’ race (4-12 y.o.).
Rankings and awards
1st in “The most valuable company in Romania” lists made by “Ziarul Financiar” in 2005-2011[23]
Trophy for “Excellence in Investments in Southeastern Europe” awarded by the Chamber of Commerce and Industry of Romania in 2005
1st in the “Top Companies in Sector 1” list made by the Chamber of Commerce and Industry of Romania in 2008-2009
1st in the “National Awards for companies in Romania” offered by the Chamber of Commerce and Industry of Romania in 2008-2009
1st in the “Leading Company in Romania” list made by Finmedia in 2008, 2010, 2011
1st in the “Non-financial companies and capitalization” list made by Finmedia in 2009
1st in “The largest sponsor and the corporation with the largest impact in the history of Habitat for Humanity Romania and Europe” list made by Habitat for Humanity in 2009[23]
1st in “The largest company in Southeastern Europe” made by SeeNews in 2010-2011[23]
Safety Award - Sustainable Impact on Business for the project "Improvement of Safety Culture" offered by Dupont în 2010
1st as the “Best CSR program - Andrei's School” in 2010
1st in “The largest oil company in Romania” list made by “Ziarul Financiar” in 2012
1st in the “Top 100 Companies” list made by Finmedia in 2012
1st in “The (emitent) with the largest capitalization B.V.B.” list made by BVB in 2012
1st in the “Best CSR strategy” list made by the Association for Community relations and AmCham, during the People for People Gala in 2012
Won the auction for a perimeter of exploitation gas and crude oil from the Black Sea, in Georgia's offshore area.[24]
Related Research Articles
OMV is an Austrian multinational integrated oil, gas and petrochemical company which is headquartered in Vienna, Austria. The company is listed on the Vienna Stock Exchange. In the 2021 Forbes Global 2000, OMV Group was ranked as the 413th -largest public company in the world.
Sonatrach is the national state-owned oil company of Algeria. Founded in 1963, it is known today to be the largest company in Africa with 154 subsidiaries, and often referred as the first African oil "major". In 2021, Sonatrach was the seventh largest gas company in the world.
Rompetrol is a crude oil development, producer, and refiner based in Romania. It also markets and distributes refined petroleum products through its chain of gasoline and diesel fuel stations. Established as a state-owned company in 1974, it was privatized in 1993 and became a subsidiary of KMG International in 2007. It has operations in 12 countries, where it is known as The Rompetrol Group N.V.
MOL Plc., also known as MOL Group, is a Hungarian multinational oil and gas company headquartered in Budapest, Hungary. Members of MOL Group include among others the Croatian and Slovak formerly state-owned oil and gas companies, INA and Slovnaft. MOL is Hungary's most profitable enterprise, with net profits of $770 million in 2019. The company is also the third most valuable company in Central and Eastern Europe and placed 402 on the Fortune Global 500 list of the world's largest companies in 2013.
The Abu Dhabi National Oil Company, known by its abbreviation ADNOC, is the state-owned oil company of the United Arab Emirates (UAE).
Societatea Națională de Gaze Naturale Romgaz SA Mediaș or simply Romgaz is the largest natural gas producer in Romania and one of the largest producers in Eastern Europe. The company is the country's main supplier and responsible for producing around 40% of the total natural gas consumption in Romania.
The emergence of oil production in the territory now known as Romania dates back to 1857, with oil facilities gaining strategic military significance in 1916 during World War I. Throughout World War II, the Kingdom of Romania held the position as the largest oil producer in Europe, second only to the USSR, whose primary oil source was located in Azerbaijan. The oil extracted from Romania played a pivotal role in Axis military operations, a fact underscored in Adolf Hitler's 1942 speech.
Arpechim Refinery was one of the largest Romanian refineries and one of the largest in Europe, located in Pitești, Argeș County, and had both refining and petrochemical capacities. It was closed in 2011. The refinery has two processing modules with a nominal capacity of 6.5 million tonnes/year. Now only one of the two modules is operating with a capacity of 3.5 million tonnes/year or 70,000 bbl/d (11,000 m3/d). The facility is connected by pipeline to the oil fields in the Oltenia Region and to the Port of Constanţa. The refinery produces around 60% of all the bitumen used in Romania.
Perenco is an independent Anglo-French oil and gas company with a headquarters in London and Paris. It conducts exploration and production activities in 16 countries around the globe.
The Lebăda Vest oil field is an oil field located on the continental shelf of the Black Sea. It was discovered in 1980 and developed by Petrom. It began production in 1993 and produces oil. The total proven reserves of the Lebăda Vest oil field are around 50 million barrels (6.8×106tonnes), and production is centered on 10,000 barrels per day (1,600 m3/d). The field also produces around 35.8 million cubic feet/day (1×105m³) of gas and has reserves of 200 billion cubic feet (5.7×109m³).
The Țicleni oil field is an oil field located in Țicleni, Gorj County. It was discovered in 1940 and developed by Petrom. It began production in 1940 and produces oil. The total proven reserves of the Țicleni oil field are around 30 million barrels (4.39×106tonnes), and production is centered on 4,500 barrels per day (720 m3/d). The oil field is expected to produce around 9,000 barrels per day (1,400 m3/d) by 2015.
Romania has proven natural gas reserves of 726 billion cubic meters and is ranked 30th among countries with proved reserves of natural gas. About 75% of Romania's natural gas resources are located in Transylvania, especially in Mureș and Sibiu counties. The largest natural gas field in Romania is the Deleni gas field discovered in 1912 and located in Băgaciu commune, Mureș County, with proven reserves of 85 billion cubic meters or 3 trillion cubic feet. Other important gas fields include the Filitelnic gas field, the Roman-Secuieni gas field, the Voitinel gas field, the Ghercești gas field and the Sărmașel gas field all with reserves larger than 10 billion cubic meters or 350 billion cubic feet. Currently Romania has the second largest natural gas reserves in the European Union just after the Netherlands.
GSP Orizont is a semi-submersible, jackup independent leg cantilever drilling rig operated by GSP Drilling, a Grup Servicii Petroliere subsidiary, and currently contracted by Iranian Offshore Engineering and Construction Company for drilling in the Iranian section of the Persian Gulf. The drilling unit is registered in Malta.
GSP Prometeu is a jackup independent leg cantilever drilling rig operated by GSP Drilling, a Grup Servicii Petroliere subsidiary, and currently contracted by Melrose Resources for drilling in the Bulgarian section of the Black Sea. The drilling unit is registered in Malta.
The Totea gas field is a natural gas field located in Licurici, Gorj County, Romania. It was discovered in 2011 and developed by Petrom. The discovery of this gas deposit was the largest in Romania in the previous 6 years. The gas field began production in 2011 and produces natural gas and condensates.
ADNOC Gas Processing is a natural gas producing company and the largest gas processing complex in Abu Dhabi, UAE.
Mariana Gheorghe is the first woman general manager of Petrom. Since the 15 June 2006, Mariana Gheorghe was the general executive director of PETROM, replacing Gheorghe Constantinescu who was named councilor for the president of OMV, Wolfgang Ruttenstorfer.
The Poduri gas field is a natural gas reservoir situated in Poduri, near the municipality of Moinești, Bacău County. The gas field, located in block EV-1 Moinești, was discovered in 2012 and subsequently developed by Stratum Energy, a privately-held exploration and production company based in Houston, Texas which operates in Romania since 2014, with a focus on the Poduri field at its Moinești concession. Production at the field commenced in 2014, with a focus on extracting both natural gas and condensates. The Poduri gas field boasts total proven reserves estimated at approximately 235 billion cubic feet. In 2014, it was projected to yield an output of approximately 49 million cubic feet per day (1.4×105m³). With an investment of $150 million in the Poduri gas field in 2015, Stratum Energy was poised to become the third-largest natural gas producer in Romania, trailing only Romgaz and Petrom in terms of production volume.
Taleveras is an African business conglomerate, privately owned with business interests in energy and infrastructure, oil and gas exploration, production, trading and supply, power and construction. Taleveras’ offices are located in London, Geneva, Abuja, Lagos, Abidjan, Cape Town and Dubai.
This page is based on this Wikipedia article Text is available under the CC BY-SA 4.0 license; additional terms may apply. Images, videos and audio are available under their respective licenses.
21.5 billion RON (€8.9 billion) (2014)
