01 February 2013 08:54 [Source: ICIS news]
LONDON (ICIS)--The petrochemicals performance of Austrian group OMV in the fourth quarter of 2012 was helped by some quarter-on-quarter improvement in margins but was hit by a decrease in sales volumes, OMV said in a trading statement on Friday.
“In the petrochemicals business, the actual ethylene and propylene margins slightly improved versus the third quarter of 2012, nevertheless, the positive effect was offset by lower sales volumes in the fourth quarter of 2012,” OMV said.
Looking at the fourth-quarter outcome for Borealis, an Austria-based plastics producer 36% owned by OMV, the company noted that Borealis would contribute less to OMV’s profitability than it did in the third quarter of last year because of a weak European polyolefin market environment.
“Both, the Borealis fertilizer business as well as the strong performance from Borouge, Borealis’ joint venture with the Abu Dhabi National Oil Company (ADNOC), partly compensated for that,” OMV added.
The fourth-quarter results would contain net special charges of approximately €120m ($162m), “due to provisions for onerous contracts booked in the fourth quarter, primarily related to contracted long-term transport and liquefied natural gas (LNG) capacity bookings of EconGas,” the company said.
Overall OMV oil production decreased quarter on quarter mainly as a consequence of factors including temporary production interruptions in Libya due to local protests, a sabotaged export pipeline in Yemen and planned maintenance in New Zealand, it added.
OMV is scheduled to publish its fourth-quarter results on 21 February.
|ICIS news FREE TRIAL|
|Get access to breaking chemical news as it happens.|
|ICIS Global Petrochemical Index (IPEX)|
Asian Chemical Connections