- OMV Completes Acquisition of Petronas Carigali
Wednesday, July 13, 2011
OMV successfully completed the acquisition of the entire share capital of Petronas' E&P operating entity in Pakistan from PETRONAS International Corporation Limited (Petronas) as of July 11, 2011. The government of Pakistan has provided its non-objection to the share transfer and change of control transaction pursuant to applicable laws in Pakistan.
Jaap Huijskes, member of the OMV Executive Board responsible for Exploration and Production, stated, "The acquired production, development and exploration licenses will strengthen OMV's position in the top league of foreign gas producers in Pakistan. OMV is well on the way to achieve the goal of increasing equity production in Pakistan to around 25,000 boe/d by 2014."
The acquired portfolio considerably strengthens OMV's position in Pakistan. With the completion of the share and change of control transaction, OMV increases its production by about 1,000 boe/d to 15,000 boe/d. The acquisition includes the Mubarak and Mehar exploration licenses as well as the Mehar and Mubarak development and production leases in the Indus Basin in central Pakistan. Through this acquisition, Pakistan gains a strong strategic position within the E&P portfolio and will help OMV reach its long-term growth objectives.
OMV started operating in Pakistan in 1991. The current gross production operated and processed by OMV (PAKISTAN) amounts to 530 mn scf/d (90,000 boe/d), which represents around 13% of Pakistan's gas supplies. The country offers growth potential supported with prospective as well as underexplored acreage. The good business environment and strong local energy demand support the growth aspirations.
Balanced international E&P portfolio
In 1Q/2011, OMV's oil and gas production was 304,000 boe/d. Its proven reserves were about 1.15 bn boe at year-end 2010. In its core countries Romania and Austria, OMV is focusing on reducing the natural decline and on enhancing the recovery rates from mature fields. Future growth is expected to come via new field developments, exploration and acquisitions internationally. OMV intends to grow the existing portfolio to and beyond critical mass, on a production per country basis, and is looking to find new growth areas within the Caspian, Middle East and North Africa regions where OMV can leverage on its existing E&P exposure.
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