23 Jun 2022 09:30
OMV Petrom S.A.
Investor News
June 23, 2022
OMV Petrom will start the production of sustainable aviation fuel at Petrobrazi
► Petrobrazi to be the first refinery in Romania to produce sustainable aviation fuel (SAF)
► The SAF volumes produced at the Petrobrazi refinery can help reduce the CO2 emissions from commercial flights by about 70%, compared to conventional fuel
OMV Petrom, the largest integrated energy company in Southeastern Europe, will produce sustainable aviation fuel at the Petrobrazi refinery by co-processing locally produced rapeseed oil. The first test run volumes are estimated for July, this year. The product will help reduce the CO2 emissions from commercial flights.
Radu Căprău, member of the Executive Board responsible for Refining & Marketing: "The production of SAF is part of our strategic objectives and we believe that it will become the main alternative for achieving the climate objectives of the aviation industry. Our goal is that, in 2030, to have an annual combined production of SAF and HVO (hydrotreated vegetable oil) of about 450 thousand tons."
This test run was based on a successfully completed first rapeseed oil co-processing pilot at the Petrobrazi refinery, performed in July 2020. OMV Petrom was certified as an HVO producer based on the CERTROM audit, in accordance with the requirements of the International Sustainability and Carbon Certification (ISCC-EU) voluntary scheme. This is a system recognized by the European Commission for the certification of sustainable materials that comply with the legal requirements of the Directive on the promotion of the use of Energy from Renewable Sources (RED). The use of HVO reduces the CO2 emissions by at least 65% compared to conventional diesel.
Petrobrazi will thus become the first ISCC certified refinery in the country to produce SAF and HVO by co-processing raw materials of a biological nature. The SAF volumes produced at the Petrobrazi refinery for commercial flights will help reduce the CO2 emissions by about 70% compared to the conventional fuel.
At the same time, the company aims to increase the production capacities in the future, in order to produce advanced sustainable fuels based on various waste feedstocks (i.e. used cooking oil).
To meet the Green Deal climate goals, the European Commission's current plan includes the use of at least 63% SAF out of the aviation fuel demand by 2050 for EU air transport. Sustainable fuels will play a major role in decarbonizing this sector.
Romania is one of the largest producers of rapeseed in the European Union, ranking 4th in 2021. According to the National Institute of Statistics, most of the production is exported as raw material (seeds), only a part of the quantities obtained being recovered internally. By using locally obtained rapeseed oil in the production of sustainable fuels for aviation, we contribute to the expansion of the rapeseed value chain in Romania.
About OMV Petrom
OMV Petrom is the largest integrated energy company in South-Eastern Europe, with an annual Group hydrocarbon production of approximately 47 million boe in 2021. The Group has a refining capacity of 4.5 million tons annually and operates an 860 MW high-efficiency power plant. The Group is present on the oil products retail market in Romania and neighboring countries through more than 780 filling stations under two brands - OMV and Petrom.
OMV Petrom shares are traded on the Bucharest Stock Exchange and the London Stock Exchange. OMV Aktiengesellschaft, one of the largest listed industrial companies in Austria, holds a 51% stake in OMV Petrom. The Romanian State, through the Ministry of Energy, holds 20.6% of OMV Petrom shares, and 28.4% is owned by natural and legal persons.
OMV Petrom is the largest contributor to the state budget, with approximately 35 billion euro in taxes and dividends paid between 2005 and 2021. During the same period, the company invested approximately 17 billion euro.
Since 2007, OMV Petrom has included corporate responsibility principles into its business strategy. Between 2007 and 2021, the company has allocated over 80 million euro to develop communities in Romania, focusing on environmental protection, education, health, and local development.
On July 29th, 2020, OMV Petrom announced its support for the recommendations issued by the Task Force on Climate-related Financial Disclosures (TCFD) regarding risks and opportunities on climate change.
Contact:
OMV Petrom Investor Relations
Tel: +40 372 161930, Fax: +40 372 868518
e-mail: investor.relations.petrom@petrom.com