Helped by increased fuel demand and output cuts by oil producers, OMV sees hope in the second half of 2020 for a recovery in oil prices. OMV CEO Rainer Seele said oil prices have a chance to return to a reasonable level as the willingness of producers such as Saudi Arabia and Norway to drastically cut output.
Averaging $40 for the year, the oil price in the second half 2020 is expected to gradually recover. Australia’s gasoline and diesel consumption halved in April. After all shops were allowed to reopen in early May, the consumption was back at 60 percent and it has hit 65 percent in the past few days.
In Europe, the country was one of the first nations to urge people to stay at home and close shops and restaurants. It has also been early to ease lockdown measures.
To meet agreed quotas, oil production in the UAE and Norway is being curbed by OMV but it does not expect any production shutdowns.
