Tag: oil price

  • OMV revises oil price assumptions

    OMV revises oil price assumptions

    OMV, the international oil and gas company headquartered in Vienna, has reduced its Brent oil price planning assumptions. 

    The long-term Brent oil price assumptions are now reduced to USD 60/bbl real, compared to USD 75/bbl applied before.

    For 2021, the company expects a continued macroeconomic impact of the COVID-19 pandemic and confirms its oil price forecast of USD 50/bbl. 

    The oil price expectations for 2022 and 2023 are reduced to now USD 60/bbl from USD 70/bbl and USD 75/bbl, respectively. 

    For the years 2024 to 2029, OMV assume a Brent oil price of USD 65/bbl (before USD 75/bbl), which is expected to gradually decline to USD 60/bbl until 2035. 

    From 2035 onwards, OMV use a Brent oil price of USD 60/bbl.

    All assumptions for the years 2025 onwards are based on 2025 real terms. 

    The updated price planning assumptions are expected to result in non-cash net impairments of around EUR 600 mn post-tax in the third quarter results, net of minor impairment reversals.

    The impairments in Upstream are approximately equally ascribed to tangible assets and write-offs of exploration intangibles.