BAKU, Azerbaijan, Nov.6
By Leman Zeynalova – Trend:
Portfolio break-even of Hungarian MOL Group company was reduced by $5/bbl to $25/bbl oil price in 2020, Trend reports with reference to the company.
During the pandemic and economic crises, Clean CCS EBITDA strongly rebounded from the Q2 lows and came in at USD 610mn in Q3 2020, only 12 percent lower than in the same period last year. This result brought Q1-Q3 2020 EBITDA to USD 1.59bn, 14 percent lower year-on-year, implying full year 2020 EBITDA likely to be at the higher end of the guidance range, around USD 1.9bn. Simplified free cash flow jumped in Q3 to USD 306mn on continued capex discipline, bringing year to date simplified free cash flow to USD 662mn, 42 percent higher than in the first three quarters of last year. Organic capital expenditure was down by 33 percent in the first three quarters, reflecting strong capex control as well as some COVID-19-related slowdown.
Upstream production increased by 8 percent compared to the previous quarter to 126.9 thousand barrels/day and it was 18 percent higher than a year ago in the same quarter. The volumes were boosted by higher net entitlement allocation and a full quarter contribution of ACG. MOL’s net entitlement production in the Azeri asset was 29.8 thousand barrels/day in Q3 2020. Oil and gas prices recovered in Q3 but are still well below the year-ago level. Q1-Q3 Upstream EBITDA was clearly driven by the huge negative price impact on the back of the significantly lower oil (Brent fell 37 percent year-on-year to USD 41/bbl) and realized gas prices (-34 percent year-on-year).
MOL Group operates three refineries and two petrochemicals plants under integrated supply chain management in Hungary, Slovakia and Croatia, and owns a network of 1940 service stations across 10 countries in Central & South Eastern Europe.
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