OMV has decided to cut costs by around $217 million, delay acquisition projects, and reduce its investments in 2020 by 20 percent. This move makes the company join other oil and gas operators in actions to safeguard their businesses amid the oil price war and coronavirus crisis.
The global spread of the coronavirus has significantly worsened the economic environment. To safeguard the company’s economic stability and to secure supply of energy, OMV is responding to this situation with targeted measures. In this context, an action plan of more than EUR 4 billion for the year 2020 has been approved by the executive board.
A reduction of around EUR 500 million in organic investments to below EUR 2 billion in 2020 is included in the measures. It also includes cutting costs by around EUR 200 million compared to 2019 (opex and exploration expenditures).
