Home NewsBusiness News omv: OMV focused on security of supply as Gazprom gas contracts roll on -CEO

omv: OMV focused on security of supply as Gazprom gas contracts roll on -CEO

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omv: OMV focused on security of supply as Gazprom gas contracts roll on -CEO

Austria’s OMV is seeking to diversify its energy sources while awaiting legal clarity on how to handle its delivery deal with Gazprom, Russia’s long-term gas supplier, its chief executive said.

The European Union on Tuesday launched new sanctions against Russia for invading Ukraine, including a ban on investment in the Russian energy sector, but EU member states can still buy oil and gas from big Russian producers.

“The (Russian) delivery contract will run until 2040, and we’ll see how the legal environment and the sanctions environment develops over the next few years. Otherwise, of course, this is an existing contract,” CEO Alfred Stern told ORF Radio in an interview Said to be broadcast on Saturday.

Asked if early withdrawal from the Gazprom contract was an option, he said: “You can review it legally, that’s why it’s important to know what’s really going on in the legal environment in this situation. At the moment we really The main one has to do with securing supply. What other consequences will become clear in the coming months.”

When asked if the OMV was conducting such a legal review, he said: “Our main concern at the moment is ensuring the security of supply here. We are discussing with the government how to do that, how we can diversify our sources of supply, we How to increase storage to ensure we have long-term supply.”

80% of Austria’s natural gas comes from Russia. Replacing this supply is not straightforward, Stern said, requiring a significant investment in infrastructure.

“Our possibilities in Austria are really limited in the short term,” he said.

OMV said this month that it has no “near-term” plans to refine Russian crude.

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