OMV Petrom’s new strategy for 2030 includes an investment of 11 billion euros, with a strong focus on the energy transition in Eastern Europe, said Franck Neel, member of the Board responsible for Downstream Gas activity, at the Romanian International Gas Conference 2021, event organized by the Federation of Petroleum and Gas Employers FPPG, with the support of the Energy Policy Group.

“We will reposition our portfolio to gas, so we expect to have 70% of gas-oriented production by 2030, compared to the 50-50% portfolio currently divided between oil and gas. We are planning major investments in renewables as well, we will have at least 1 GW of renewables in our portfolio, and we are also targeting hydrogen production – the new decarbonization fuel, and carbon storage. We will also invest in second generation biofuels, and we want to become the leader of the Romanian market for biofuels,” said Franck Neel.

Among the important sectors for the energy transition is the household consumer market, and Romania will expand its local gas network to cover 40-45% of the population, as it moves from coal to gas. Thus, the support of ANRE is needed to achieve the ambitious targets of the Union, in the next 30 years, in order to guarantee to the investors the period of operation of the future gas-fired power plants.

At the same time, the Government will have to address the issue of mobility by switching transport to LNG and CNG, which are now not very viable for carriers.

“This year we obtained the license for LNG in Romania,” he added.

“Romania currently imports about 20% of its gas needs, and if there is no investment in Neptune Deep, Romania would have to import 50% in the long run. It is at least 50% by 2030. We are still waiting for the offshore law to be amended, which will allow us to have the fiscal conditions and stability we need to complete such a large investment. We are confident that the Government will speed up the process, now that we also have Romgaz involved in the project,” added Franck Neel.

“We will also have a hydrogen production in Romania that will meet the criteria of the EU Taxonomy. Blue hydrogen will have very low emissions. For the industry to move from coal to gas, we need security of supply,” he added.