Wintershall with record production

Source: press release, 21 March 2019

Wintershall CEO, Mario Mehren (photo: Wintershall/Thomas Niedermueller)
Wintershall CEO, Mario Mehren (photo: Wintershall/Thomas Niedermueller)

Wintershall is looking back in 2019 not only on 125 years of company history, but also on a successful past business year. “In 2018 we set a production record with daily production of up to 500,000 barrels of oil equivalent (BOE). With a crude oil and natural gas production of 171 million BOE in 2018, Wintershall has once again significantly surpassed the record figure – 164 million BOE – from the previous year,” explained CEO Mario Mehren at the Annual Press Conference for Wintershall, Germany’s largest internationally active crude oil and natural gas producer.

Wintershall also increased its reserves by 12% to 1.9 billion BOE – also a record figure. Wintershall replenished 214% of the volumes produced in 2018. The reserves-to-production ratio was increased to around 11 years. This is the ratio of Wintershall’s production in 2018 to the end-of-year reserves.

“However, we’re not resting on our laurels, but are actively shaping our future in our anniversary year and are writing the next chapter in the company’s history: Wintershall DEA will be the largest independent European gas and oil company – a European champion in the best sense of the word,” said Wintershall’s CEO. “We’re convinced that it is right and important that Germany also has a powerful gas and oil company – in the same way that many of our neighbouring countries also have a major player.”

The European Commission already gave its approval to the merger of Wintershall and DEA at the end of February. The transaction is expected to close in the first half of 2019.

Outlook for 2019
In 2019, delivering the merger with DEA will be the decisive issue for Wintershall. Wintershall will also be investing in the expansion of gas and oil production, particularly in Russia, Norway and the Middle East.

A key project in Norway will be Nova, while in Russia plans are underway to prepare plateau production in Block 1 A of the Achimov Formation. The extensive infrastructure and construction work for developing blocks 4 A and 5 A in the Achimov Formation is proceeding according to plan. In addition, Wintershall will begin developing its local operations in Brazil. The production in Europe will continue to focus on increasing efficiency and effectiveness, but it is also planned to step up the exploration activities again.

“Our plans for 2019 are based on an average Brent crude oil price of 70 US dollars per barrel and an exchange rate of 1.15 US dollars per euro,” says Mehren.