Analysis OMV update July 31st, 2026
AT0000743059 430021 symbol OMVKY
This is not a recommendation or proposal to do anything. It is my private personal opinion. The data written in this article is not guarranteed. It is my private personal opinion. I`m not independing as I own a position of OMV shares. I`m a shareholder of OMV since some years.
OMV is owned by ÖBAG (Austria) 31,5% and Abu Dhabi 24.9% which means it is controlled by these governments with very different ideology`s.
OMV and ADNOC merged their shares of Borrealis and Borrouge in a new entity the Borouge Group International. It adds the newly aquired Nova Chamicals for 13.4 bn. $ and Borouge 4 for 7.5 bn. $. The OMV share of the new company is 46,94%. The company is situated in Vienna.
OMV is controlled by the Austrian Government. In the years of the conservative Kurz - Strache coalition 2017 - 19 Mr. Seele was CEO. The control of OMV was liberal and OMV increased its production from 311 kbl/day in 2016 to 487 kbl/day oil equivalent in 2019. Since the more left - green government took power in Austria OMV was brought back under (green) political control. Seele had to leave. OMV got the target to get away from oil/gas production and to focus on base chemistry. In Q1/22 OMV lost 90 kbl/day with its Russian assets due to Putin`s special operation. In Q1/23 production went down to 376 Kboe/day. OMV sold its 50% share of the SapuraOMV Upstream Sdn. In 2025 a production of 300 Kboe/day is forecasted. OMV waste a lot of capex for green nonsense. The actual CEO Stern will leave Aug. 2026. Mrs. Emma Delaney will replace Mr. Stern as of sept. 1st 2026 as CEO. It is to hope that the lady did not get the task of a "transformation" away from the profitable oil business.
Potential reason to buy OMV is the significant lower valuation and the hope that Austria will get a more economy friendly government in the future.
Chances & Risks
The Q2/26 results were very well due to very profitable refining margins and higher gas and oil prices. The Q1/26 results are quite well but distorted by the spin-off of Borrouge International.
OMV announced that it will keep the dividend for 2025 (paid 2026) at 4.4 €/share.
With left and green political parties in power OMV changed its objectives to chemicals - the least profitable business of OMV and as well green nonsense. Ex. OMV is pressed as well to use its oil/gas know-how and equipment for geothermal energy which is far less profitable.
With a share price of 60€ (April 30th. 2026) and a profit of perhaps 6 €/share the PE is 10! But anyhow due to the USA - Iran war a profit forecast is challenging.
A main specific risk is Lybia. The regular production from Lybia Al Sahara field* is about 35.000 bl/d (OMV share) if not disturbed. The production in Lybia is unstaedy and varies due to the civil war.
Another risk are production losses in the Borrouge plants and as well in the oil production in Abu Dhabi about 9% of the total oil & gas production.
The dividend of 440c/share for 2025 is far above the annual profit 311c/share. In 2025. It will drain the cash out of the company. It would be better if OMV would increase oil and gas exploration in the Black Sea and other European countries.
The realized crude price jumped to a pleasent level due to the Iran war.
The realized gas price follows the spot market price with a delay due to long term contracts. It gives stability in the fluctuations of the market.
The refining margin in $/bl. Data changed in Q2/22 from a mix of Ural and Brent oil to Brent only as Ural is not used anymore due to Putin`s war. The refining margins climbed to a record level with Iran and the Ukrainian war. Refining capacities in the Middle East and Russia are not operational.
Actually the margins for PE and PP is very strong due to the loss of PE/PP manufacturing capacities in the Middle East due to the Iran war.
Source: OMV Investor relations data from business reports.
Some more Data
Number of Shares: 327.1 mio. 31.12.2025 unchanged
Major shareholdings
51% in the Romanian integrated oil and gas company OMV Petrom
47% Borouge Group International, one of the world’s leading producers of polyolefins
Informations
2025/07/22 OMV announced that it will invest 170 M$ in exploration drilling in the Bulgarian part of the Black Sea starting in Q4/25. It is in the Han-Asparuh-Block close to Neptune field in the Romanian part of the Black Sea.
2025/05/29 OMV wird einen mittleren dreistelligen Millionen Eurobetrag in eine neue Anlage für grünen Wasserstoff in Bruck an der Leitha, Niederösterreich, zu investieren. Dort plant OMV den Bau einer 140 MW Elektrolyseanlage – vorbehaltlich und unter der Annahme einer positiven Förderzusage der Europäischen und der Österreichischen Wasserstoffbank mit einer jährlichen Produktionskapazität von bis zu 23.000 Tonnen grünem Wasserstoff. Quelle Investor Relations Mail May. 28,2025. 30.05 OMV hat eine Vereinbarung zur Veräußerung des 5%-Anteils an der Ghasha-Konzession in den VAE an Lukoil abgeschlossen. Der zahlungswirksame Verkaufspreis beläuft sich auf USD 594 Mio abzüglich einer Transaktionsgebühr in Höhe von USD 100 Mio. Grüner Nonsens statt sinnvoller Geschäfte!
2023/10/03 Borealis und TotalEnergies feiern die Inbetriebnahme der neuen Borstar® Polyethylen (PE)-Anlage ihres Baystar Joint Ventures. Mit einer jährlichen Kapazität von 625.000 Tonnen, diese Anlage die derzeitige Produktionskapazität am Baystar Standort in Pasadena, Texas, mehr als verdoppeln.
Die neue Anlage im Wert von 1,4 Mrd. USD vervollständigt das integrierte Petrochemieprojekt der Partner, zu dem auch die erweiterte Bayport PE-Anlage sowie der Ethancracker auf der TotalEnergies Plattform in Port Arthur, Texas, gehören. Quelle OMV Investor Relation mail 03.102023
2023/06/21 The Neptune gas fields were discovered already some years ago by OMV/Exxon. But the tax scheme of that time did not motivate OMV & Exxon to develop this field. With the Russian "special operation" in Ukraine Romania changed its tax scheme and the project is kicked off.
Die wichtigste Highlights des Neptun Deep-Projekts (100%) umfassen
- Die Gesamtinvestitionen für die Erschließung werden auf bis zu EUR 4 Mrd geschätzt, die hauptsächlich im Zeitraum 2024-2026 erfolgen werden.
- Die erste Produktion wird für 2027 erwartet.
- Die Plateauförderung wird auf etwa 140 kboe/Tag für nahezu 10 Jahre geschätzt, (etwa 40Kboe/day für OMV)
- Die geschätzten förderbaren Mengen liegen derzeit bei etwa 100 Mrd m³ (~700 Mio boe).
- Die Produktionskosten pro Einheit werden auf durchschnittlich 3 USD/boe geschätzt (für die gesamte Lebensdauer des Feldes).
- Anteile OMV Petrom, als Betreiberin, entwickelt das Gasprojekt in einer 50/50-Partnerschaft mit Romgaz , Die OMV Gruppe hält einen Anteil von 51% an OMV Petrom. Damit beträgt der OMV Anteil 25%.
2022/07/21 A new Ethanecracker went in production today at Bayport Polymers LLC („Baystar“), a 50/50-Joint Venture of Borealis and TotalEnergies. It has a capacity of 1 M tons/yr. Investment 2bn$, It is integrated in the Total refinery in Port Arthur, Texas, USA, errichtet.
Evaluation: In the past the PE and PP markets of North America and Europe were separated. With extreme feedstock and energy costs in Europe it seems likely that OMV and other company`s will will transfer the production for the European market to North America and Middle East.
BayStar JV
Bayport PE plant with 400000to PE/yr, A 625 K to/yr plant in construction in Bayport, the 1 M tons Ethane cracker
2022/06/24 During maintenance work at the Schwechat refinery the destillation column was damaged. The capacity is reduced by 80%. It is expected that the refinery can resume operation with full capacity of 200 Kb/day end of september. Damage at 9$ refining margin 130 M€.
2022/06/02 AGROFERT hat OMV die Übernahme des Stickstoffgeschäfts von Borealis, das Pflanzennährstoffe, Melamin und technische Stickstoffprodukte umfasst für 810 Mio. Euro angeboten.
2022/04/04 OMV will make the final investment decision on the Neptun Deep natural gas project in the Romanian section of the Black Sea next year, pending a new offshore law from the Romanian parliament
2022/02/12 OMV is going to sell its 285 gas stations in Germany to Esso (Exxon Mobile)(28).
2021/07/16 Borealis intend to sell the fertilizer business and expects 500 - 600 Mio. € from iOMV will make the final investment decision on the Neptun Deep natural gas project in the Romanian section of the Black Sea next year, pending a new offshore law from the Romanian parliamentt. Borealis has 2 plants in Austria and France where nitrogen fertilizer are produced. Main feed stock is natural gas. The process requires plenty of energy. Natural gas and electricity is far more expensive in Europe than in North America or the Middle East. The Green Religion/Climate Fraud will further decrease the competitivness. It make sense to sell this business. The question is if the (regrettable) potential customer will pay the expected price. (25)
2021/04 Rainer Seele, CEO, will not extent his contract bejond June 30, 2022.
2021/02 OMV builds the biggest hydrogen plant in Austria for 25 M€ with a capacity of 1500 tons/yr. It is good that they does not spend more on this green nonsense.
2020/05 There seems to be some disorder in the OMV management team of OMV. The board (Aufsichtsrat) decided to examine the travel expensis and sponsoring ex. a soccer club that is tied to the Russian president of the CEO Seele.
2020/03 OMV beabsichtigt seinen Anteil an Borrealis von 36% auf 75% zu erhöhen. Mit Mubadala werde derzeit den Erwerb eines zusätzlichen 39% Anteils für einen Kaufpreis von USD 4,68 Mrd. verhandelt, teilt die OMV mit. Die potenzielle Transaktion würde die Wertschöpfungskette der OMV im petrochemischen Bereich erweitern. Die Beteiligung der Mubadala an Borealis würde nach Closing der potenziellen Transaktion 25% betragen.
2019/07 Die OMV beabischtigt mit dem indonesischen Chemiekonzern Chandra Asri zu kooperieren. Ich wäre nicht erstaunt wenn das nächste Projekt der OMV in Indonesien statt findet. Aus Sicht eines Aktionärs ist es nicht ideal wenn OMV seine Aktivitäten auf zu viele Länder verstreut.
2019/07 Die OMV, hat die Investitionsentscheidung über EUR 64 Mio zum Bau einer ISO C4 Anlage getroffen - nun beginnt die Bauphase: Die Errichtung der neuen Anlage wird im Sommer 2019 in der Raffinerie Burghausen starten, die Inbetriebnahme ist für September 2020 geplant. Ab diesem Zeitpunkt kann in Burghausen hochreines Isobuten mittels einer neuartigen Technologie hergestellt werden. (15)
2019/01 OMV and co-owning companies, OMV share 25%, plans to increase the production of the Wisting oil field off the coast of Norway. It is planned to invest 6bn$. The expected yield is 440 mio. bl of oil. Production start is 2026 (7)
2018/11 The US administration threatens to use coercive measures to stop Nordstream 2 from Russia to Germany.
2018/11 OMV will pay 715 mio. $ for half of Sapura Upstream. These assets are expected to produce 60.000 bl/day oil equivalent mostly gas in 2023. Total reserves are 260 mio. bl 90% gas (3).
2018/11 OMV sold its oil assets in Tunesia to the Oslo-listed Panoro Energy for $65 million. Net 2P reserves of 8.1 million barrels, and net production of approximately 2,000 bopd from 14 wells (2). It makes sense for OMV to sell negligible asset and to concentrate on key assets.
*Eine offene Baustelle der OMV ist noch das Erdgasprojekt "Neptun" im Schwarzen Meer. "Wir sind, was die Entwicklung in Rumänien betrifft, schon ein wenig enttäuscht", sagte Seele, "denn die Entscheidung der rumänischen Regierung gegen Ende des Jahres, den Steuerrahmen in Rumänien so zu verändern, hat natürlich das Risiko für Investitionen im Land deutlich erhöht." Man spüre bereits negative Auswirkungen durch die Gaspreisregelung in Rumänien, weil für die nächsten drei Jahre der Gaspreis auf 68 Lei (14,33 Euro) eingefroren werde. "Das ist etwa ein Drittel niedriger als der derzeitige Marktpreis. Das hat natürlich Auswirkungen auf unser Ergebnis." Dennoch seien die OMV und auch die Petrom "vollkommen kommittiert zu diesem Neptun-Projekt. Allerdings brauchen wir, wie alle anderen Investoren auch, eine gewisse Sicherheit um diese Milliardeninvestition zu stemmen." (9)
Old Stuff
OMV origin is that of a governmental company controlled by politics. The former CEO Seele acted very independent and successful from the Austrian political system. Seele was motivated to resign from his position by June 2022. The green communist government of Austria demands more efforts in "climate change" (24). There are plenty of articles about the restructuring of OMV by the new CEO Stern (26). OMV will reorient its business in favor of chemistry. The board member Pleiniger (oil& gas production) who was in favor of the oil&gas business was leaving (31). It seems that the oil business is more profitable than basic chemistry. Now OMV uses its precious drilling equipment - gas & oil prices are at a record level - to make geothermal tests rather than increasing gas production (35). OMV got a vehicle of the now (green) Austrian Politics again. I hope that Abu Dhabi as the second biggest co-owner will act in favor of an economic optimization.
With the Ukrainian war the Romanian Politics cleared the way for the development of the gas fields in the Black Sea (30). These gas fields are a growth opportunity for OMV. Romania is the biggest source of the OMV oil & gas production. Neptun Deep contains recoverable resources of around 100bcm of natural gas. A production rate of 6.5 bnm3/yr. is scheduled. The former socialist government increased royalties begin of 2019 and reduced domestic gas prices by regulation. Exxon/OMV stopped investments in the Black Sea(9). Now it seems to have changed. Now, sept 23, it seems that Romania is playing bad games again by not changing its off-shore law (36). It is to hope that the development of the gas field is not delayed again. Actually drilling is scheduled to start in 2025 and gas production in 2027. Contracts with Haliburton (Transocean Barents semi submersed platform) and Saipem (Offshore Production unit) are signed. Investment is estimated to become 4bn €.
References
(37) 2024/10/09 https://www.n-tv.de/wirtschaft/der_boersen_tag/Libyen-bremst-OMV-aus-article25276384.html
(36) 2023/09/20 https://www.romania-insider.com/romania-not-amend-offshore-law-omv-sept-2023
(35) 2022/10/03 https://www.boerse-social.com/2022/10/03/omv_fuhrt_fordertest_im_wiener_becken_fur_mogliche_warmegewinnung_durch
(34) 2022/07/21 OMV News Bayport Polymers LLC („Baystar“), ein 50/50-Joint Venture von Borealis und TotalEnergies, kündigt heute den Start des kommerziellen Betriebs ihres neuen Ethancrackers an, der über eine Produktionskapazität von einer Million Tonnen Ethylen pro Jahr verfügt. Das Projekt, das durch Investitionen in Höhe von 2 Milliarden USD ermöglicht wurde, wurde in der Raffinerie von TotalEnergies in Port Arthur, Texas, USA, errichtet.
(33) 2022/06/24 IR Mail Update zur OMV Raffinerie Schwechat
(31) 2022/05/14 https://www.derstandard.at/story/2000135726998/omv-verlaengert-vertrag-von-oel-und-gasvorstand-pleininger-nicht?ref=rss
(30) 2022/04/25 OMV vor Durchbruch bei Erdgas aus Schwarzem Meer 21.04.22, 16:00 INDUSTRIEMAGAZIN
(29) 2022/04/04 https://seenews.com/news/omv-to-make-final-investment-decision-on-romanian-offshore-gas-project-in-2023-ceo-777253
(28) 2022/02/12 https://industriemagazin.at/aktuell/omv-darf-mit-bedingung-an-esso-verkaufen/
(27) 2022/01/14 https://www.nachrichten.at/wirtschaft/omv-schreibt-haelfte-des-bisherigen-jahresgewinns-ab;art15,3542070#ref=rss
(26) 2021/08/31 https://industriemagazin.at/a/alfred-stern-der-neue-generaldirektor-der-omv
(25) 2021/07/16 https://www.diepresse.com/6008719/omv-tochter-startet-verkauf-des-dungemittelgeschafts
(24) 2021/05/11 https://industriemagazin.at/a/rainer-seele-der-unterlegene-2
(23) 2021/02/20 https://industriemagazin.at/a/omv-baut-groesste-elektrolyseanlage-oesterreichs
(22) 2020/07/08 https://www.diepresse.com/5836748/omv-wenig-ol-im-zweiten-quartal-raffineriemarge-sehr-mager
(21) 2020/05/15 https://www.nachrichten.at/wirtschaft/reiseausgaben-von-omv-chef-werden-geprueft;art15,3258655#ref=rss
(20) 2020/05/13 https://www.finanzen.at/nachrichten/aktien/omv-registriert-bereits-leichte-sprit-nachfrageerholung-1029196058
(19) 2020/03/07 https://www.boerse-social.com/2020/03/06/omv_will_bei_borealis_aufstocken
(18) 2020/02/08 https://www.omv.com/services/downloads/00/omv.com/1522181753984/omv-group-report-2019-q4
(17) 2020/01/10 https://de.reuters.com/article/sterreich-rum-nien-omv-exxon-idDEKBN1Z72AA
(16) 2019/07/25 https://www.finanzen.at/nachrichten/aktien/omv-will-mit-indonesischem-chemie-konzern-chandra-asri-kooperieren-1028379389
(15) 2019/07/15 https://www.finanznachrichten.de/nachrichten-2019-07/47181827-apa-ots-news-investition-in-die-zukunft-omv-baut-petrochemie-weiter-aus-016.htm
(14) 2019/07/10 https://www.finanzen.at/nachrichten/aktien/omv-aktie-faellt-omv-foerderung-erreicht-in-q2-neuen-rekord-1028337100
(13) 2019/07/03 https://industriemagazin.at/a/verbund-und-omv-bauen-oesterreichs-groesste-pv-freiflaechenanlage
(12) 2019/05/16 https://derstandard.at/2000103159172/OMV-im-Visier-US-Senatoren-wollen-Nord-Stream-2-mit?ref=rss
(11) 2019/04/10 https://de.reuters.com/article/sterreich-omv-idDEKCN1RM0SX
(10) 2019/03/18 https://orf.at/stories/3115460/
(9) 2019/02/07 https://industriemagazin.at/a/omv-macht-nach-dem-abu-dhabi-deal-pause-bei-zukaeufen
(8) 2019/01/28 https://kurier.at/wirtschaft/omv-kauft-um-22-milliarden-euro-raffinerie-anteile-in-abu-dhabi/400389947
(7) 2019/01/18 https://industriemagazin.at/a/omv-plant-milliardeninvestitionen-in-norwegen
(6) 2019/01/14 https://de.reuters.com/article/sterreich-omv-idDEKCN1P80KW
(5) https://seekingalpha.com/article/4223178-omv-ag-9m-fy18-production-leap-low-costs
(4) 2018/11/14 https://www.boerse-express.com/news/articles/die-usa-verschaerfen-gen-omv-und-co-den-ton-63098
(3) 2018/11/09 https://kurier.at/wirtschaft/omv-laesst-sich-malaysia-bis-zu-800-mio-dollar-kosten/400319748
(2) 2018/11/07 https://www.offshoreenergytoday.com/panoro-buying-omv-tunisia-for-65-million/
(1) 2018/10/31 https://www.sn.at/wirtschaft/oesterreich/omv-chef-seele-sieht-bestes-ergebnis-seit-zehn-jahren-59688301
https://industriemagazin.at/a/rumaeniens-regierungspartei-setzt-omv-unter-druck
https://industriemagazin.at/a/omv-will-in-asien-im-upstream-bereich-zukaufen
Old Stuff
OMV fully impaired 1bn € amount including accrued interest on the Nord Stream 2 project. OMV had to write down its 24.99% interest in the Yuzhno Russkoye gas field in Q1/22.
Thanks to 8-fold natural gas prices (Q3/22 vs. Q2/21) and nearly doubled realized oil prices (Q3/22 vs. Q2/21) OMV realized record eanings and Free Cash Flow in 2022. It seems likely that the prices for oil&gas will remain at around 80$/bl. OMV will earn good money but less than 2022 in 2023.