OMV Petrom profit on downward trend
OMV Petrom Q4 2014 results reflect lower crude price environment – Clean CCS EBIT down 26%. The weaker results in the fourth quarter 2014 resulted in lower net profit in 2014, according to a company report submitted to the Bucharest Stock Exchange. OMV Petrom production costs expressed in dollars/boe (barrel of oil equivalent) reached USD 17.27/boe, by 12% higher than the 2013 level, reflecting higher production costs and lower available production in Romania for sales to Kazakhstan, despite the favourable exchange rate. Production costs in Romania expressed in USD/boe reached USD 16.84/boe, 13% higher than the 2013 level, while in RON/boe increased by 13% to RON 56.32/boe mainly due to the tax on special constructions introduced in 2014 and due to higher costs with the personnel. Exploration investments amounted to RON 1.224 million, reflecting, for the most part, capitalized investments related to drilling wells in the Black Sea for Domino-2 and Pelican South-1. In 2014, exploration expenses reached RON 156 million, down by 63% as compared to 2013 primarily due to lower volume of seismic prospecting works carried out and to the number of wells which were unsuccessful, while the result in 2013 was influenced by the largest 3D seismic campaign conducted in the Romanian sector of the Black Sea.