Refining & Marketing
OMV’s Refining & Marketing business refines and markets fuels and natural gas. It operates three inland refineries in Europe and holds a strong market position in the areas where its refineries are located, serving a strong branded retail network and commercial customers. In the Middle East, it owns 15% of ADNOC Refining and ADNOC Global Trading.
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2021 |
2020 |
∆ |
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Clean CCS Operating Result1 |
in EUR mn |
1,001 |
996 |
1% |
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thereof ADNOC Refining & Trading |
in EUR mn |
(11) |
(107) |
90% |
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thereof gas |
in EUR mn |
252 |
337 |
(25)% |
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Special items |
in EUR mn |
(509) |
22 |
n.m. |
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CCS effects: inventory holding gains/(losses)1 |
in EUR mn |
430 |
(425) |
n.m. |
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Operating Result |
in EUR mn |
922 |
592 |
56% |
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Capital expenditure2 |
in EUR mn |
654 |
570 |
15% |
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OMV refining indicator margin Europe3 |
in USD/bbl |
3.67 |
2.44 |
50% |
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Utilization rate refineries Europe |
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88% |
86% |
2 |
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Fuels and other sales volumes Europe |
in mn t |
16.34 |
15.45 |
6% |
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thereof retail sales volumes |
in mn t |
6.40 |
5.88 |
9% |
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Natural gas sales volumes |
in TWh |
196.39 |
164.01 |
20% |
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Financial performance
The clean CCS Operating Result was stable at EUR 1,001 mn (2020: EUR 996 mn). Stronger refining margins, improved performance by ADNOC Refining & Trading, and higher demand were offset almost entirely by a lower contribution from margin hedges and a weaker result from the gas business and oil trading. The OMV refining indicator margin Europe increased by 50% to USD 3.7/bbl (2020: USD 2.4/bbl), mainly as a consequence of a stronger macro environment. Substantially higher gasoline, naphtha, and jet cracks were only partly offset by weaker diesel cracks, which only rebounded toward the end of the year. In 2021, the utilization rate of the European refineries reached a resilient level of 88% (2020: 86%). At 16.3 mn t, fuels and other sales volumes in Europe increased by 6%, mainly on account of robust demand recovery. In the commercial business, demand for jet fuel and diesel grew thanks to the easing of travel restrictions, while margins remained fairly constant, pushing up sales volumes. The result from the retail business improved despite lower margins, following an increase of 9% in retail sales quantities, as well as due to a higher contribution from the non-fuel business.
In 2021, the contribution of ADNOC Refining & Trading came in at EUR (11) mn (2020: EUR (107) mn), mainly due to better operational performance and a higher refining margin environment. The result was further improved by ADNOC Global Trading following its successful launch at the end of 2020.
The result of the gas business declined by 25% to EUR 252 mn (2020: EUR 337 mn), mainly following the divestment of Gas Connect Austria to VERBUND at the end of May 2021. In addition, higher storage, CO2, gas, and energy expenses, as well as a negative impact from power forward contracts lowered the result. The ability to benefit from high market volatility through supply and sales contracts, higher revenues from the electricity balancing market, and the one-off revenues following the reversal of certain provisions partly compensated for this development. Natural gas sales volumes rose significantly from 164.0 TWh to 196.4 TWh, thanks to primarily higher sales quantities in Germany and the Netherlands. This was partially offset by lower sales in Romania.
Net special items amounted to EUR (509) mn (2020: EUR 22 mn) and were primarily related to an impairment in ADNOC Refining amounting to EUR (669) mn, which was due to lower assumed refining margins and production volumes. This was partially offset by the effect of commodity derivatives. CCS effects of EUR 430 mn were recorded in 2021 as a consequence of a substantially higher crude oil price level, while CCS effects in 2020 amounted to EUR (425) mn following the sharp drop in crude oil prices. The Operating Result of Refining & Marketing increased significantly to EUR 922 mn (2020: EUR 592 mn).
Capital expenditure in Refining & Marketing amounted to EUR 654 mn (2020: EUR 570 mn). Organic capital expenditure in 2021 was predominantly related to investments in the European refineries and retail stations.