Hungary, MOL amounted to 1.4 billion dollars in Q3 2022

, SEE Energy News

Supported by the strong Upstream and Downstream performance, driven by the macroeconomic factors, Clean CCS EBITDA of Hungarian oil and gas company MOL amounted to 1.4 billion dollars in the third quarter of 2022.

This result brought Q1-Q3 2022 EBITDA to 3.6 billion dollars that allows MOL to further upgrade full year EBITDA guidance range to 4.1-4.4 billion dollars. At the same time, windfall taxes and fuel price regulations across the CEE region hit MOL operations by approximately 1.18 billion dollars in the first nine months of 2022.

The Group’s net profit in the third quarter of the year amounted to 633 million euros, compared to 296 million euros profit in the same period last year.

MOL CEO Zsolt Hernadi said that, while macro conditions evolved favorably for the oil and gas industry in the first nine month of the year, the uncertain external environment, the looming recession, the state interventions and windfall taxes cast uncertainty over the industry. European sanctions seems to determine the economic future of Europe, the third quarter of 2022 proved to be very tight in terms of energy supply in the Central Eastern European (CEE) region. So far, MOL managed to maintain stable fuel supplies in several CEE countries, which is considered as the company’s biggest achievement in this quarter.

Upstream EBITDA almost doubled year-on-year to 640 million dollars in Q3 2022. The main driver of the strong result in the third quarter were the macro indicators that were able to offset the negative impact of extra royalties in the last quarter. Oil and gas production volume exceeded 90 million barrels of oil equivalent per day in Q3 2022, while in the first nine months of 2022 it reached an average of 92.3 million barrels, surpassing the annual 90 million barrels production guidance.

Downstream Clean CCS EBITDA increased year-on -year and reached 741 million dollars in Q3, but decreased by 14 % compared to the previous quarter. Price regulations and windfall taxation in CEE hit the segment’s profitability in Q3 2022 and petchem EBITDA decreased by 90 % year-on- year, but strong R&M contribution offset the negative drivers. The planned major maintenance of the Szazhalombatta refinery was successfully completed in the third quarter of 2022.

Consumer Services Q3 2022 EBITDA decreased by 43 % year-on-year, and more than halved in the first nine months of the year. Fuel price regulatory measures in several CEE countries affected the results, the segment’s EBITDA decreased by 85 million dollars due to fuel price caps in the CEE region.