OMV's Petrobrazi Refinery Secures Key Feedstock for HVO Production

OMV Petrom SA has finalized a significant supply agreement with Expur S.A. to procure fully refined vegetable oil, securing a crucial raw material for its forthcoming renewable diesel production. The contract spans six years initially, with provisions for extension up to an additional two years, and deliveries scheduled to commence in 2028. This vegetable oil will serve as the primary feedstock for the new HVO/SAF (Hydrotreated Vegetable Oil/Sustainable Aviation Fuel) plant at Petrobrazi refinery, following OMV's recent final investment decision in June 2024. Pricing terms are structured around an indexed international quotation, reflecting market dynamics.

The contract with Expur S.A. specifies a maximum total quantity of over 0.7 million tonnes of fully refined vegetable oil, valued at around EUR 750 million, subject to order volumes. This strategic agreement underscores OMV Petrom's commitment to sustainability, with more than half of the vegetable oil sourced locally in Romania. This approach not only supports regional agricultural industries but also enhances the resilience and environmental integrity of the supply chain, aligning with OMV's broader goals in renewable energy production. Expur S.A., backed by the Avril Group, brings substantial expertise in vegetable oil and biodiesel production, consolidating their role as a reliable partner in advancing sustainable energy solutions across Europe.

The partnership between OMV Petrom and Expur S.A. marks a significant step towards enhancing Romania's renewable energy capabilities. By prioritizing local sourcing of vegetable oil for HVO production, OMV Petrom strengthens its supply chain resilience and contributes to regional economic sustainability. This approach not only supports the transition to cleaner fuels but also underscores OMV Petrom's commitment to environmental stewardship and reducing carbon footprints. Expur S.A.'s expertise in biodiesel production further enhances the partnership's potential to drive innovation and sustainability in the European energy sector, positioning both companies as leaders in renewable fuel solutions.

OMV Petrom manages 152 operational oil and natural gas fields throughout Romania, including significant assets such as the Domino and Perican South offshore gas fields in the Neptun Deep block. Their portfolio features both long-standing and recently discovered fields, with a strategic emphasis on increasing reserve recovery rates and optimizing asset profitability. The company is committed to fully realizing the potential of its current reserves while strategically expanding its Exploration & Production footprint in the region. This expansion aims to capitalize on synergies with existing operations, thereby enhancing OMV Petrom's reserves base and solidifying its competitive position in the energy industry.