Low Carbon Business

In the Energy division, the Low Carbon Business (LCB) team is looking at options to explore and commercially develop geothermal energy potential, as well as carbon capture and storage (CCS) solutions. In addition, the unit is working on expanding OMV’s photovoltaic asset base. Furthermore, solutions for subsurface energy storage, e.g., with hydrogen, are being investigated. The activities in LCB have experienced considerable momentum in the past year, making a noticeable impact at both national and international levels. A variety of initiatives have started, and several projects have been launched and/or executed. These projects are mainly in the R&D or initial investment phase. The investments are expected to ramp up after 2024.

Geothermal

As one of the achievements in geothermal activities in Austria, OMV and Wien Energie have joined forces to transform the way we heat our buildings. In a joint venture called “deeep,” the two companies are working closely to make deep geothermal energy a reality in the greater Vienna area. The aim is to develop deep geothermal plants with an output of up to 200 MW, thereby generating climate-neutral district heating for the equivalent of up to 200,000 Viennese households. The partners are also planning to implement up to seven deep geothermal plants in Vienna as part of the drilling programs. The first deep geothermal plant in the area of Aspern is to be realized together by the partners in the joint venture. The plant will generate up to 20 MW of climate-neutral district heating – in combination with heat pumps from Wien Energie. Approval procedures are currently underway, and drilling is due to start toward the end of 2024. The plant is scheduled to go into operation in 2027.

New technologies are essential to accelerate growth in our low carbon business, so OMV acquired a 6.5% stake in Canadian privately owned company Eavor Technologies Inc. (“Eavor”). Eavor is the leading closed-loop geothermal energy solution developer worldwide. In addition, OMV and Eavor have entered into a commercial agreement to pursue large-scale deployments of the Eavor-Loop™ technology in Europe and beyond. The commercial agreement establishes OMV as a key partner with preferential licensing terms, access to services, and development support. OMV’s initial focus will be on the deployment of Eavor-Loop™ in Austria, Romania, and Germany. Eavor’s technology is based on a closed-loop system, installed in deep subsurface rock, whereby a working fluid is heated up by circulating it between surface and deep subsurface rock in a closed loop. The technology reduces the geological and hence operational risk significantly compared to normal hydrothermal systems with similar energy output. As Eavor-Loop™ is truly scalable and applicable in various types of geological structures, it will enable OMV to offer heat solutions for district heating networks outside of the normal hydrothermal areas and therefore complement its existing portfolio of hydrothermal projects.

OMV is constantly evaluating and maturing further opportunities and projects with regards to open- and closed-loop geothermal energy.

Carbon Capture and Storage (CCS)

CCS solutions are explored based on Energy’s subsurface knowledge, capabilities, and asset base. Aker BP and OMV (Norge) AS have entered into a collaboration agreement for CCS and have been awarded a license for CO₂ storage in accordance with the CO₂ Storage Regulations on the Norwegian Continental Shelf (NCS). The license awarded to Aker BP and OMV is located in the Norwegian North Sea and is named Poseidon. Aker BP (50%) and OMV (Norge) AS (50%) have an interest in the license, which will be operated by Aker BP. The license comes with a work program and a drill or drop decision by 2025. As a first milestone, a 3D seismic survey was successfully finalized. The Poseidon license could potentially provide storage of more than 5 mn t of CO₂ per year. The intention is to inject CO₂ captured from multiple identified industrial emitters in North-West Europe, including from Borealis’ various industrial sites in Europe.

In addition to the license that OMV holds together with Aker BP, activities are continuing on further license applications and opportunities to build up a project portfolio and establish OMV as a key player in CCS on the Norwegian Continental Shelf (NCS). OMV collaborates on these activities in line with applicable regulatory and legal requirements, in conjunction with industry and research partners.

Renewable energy (wind and solar)

The LCB team is working on expanding the renewables asset base with a focus on captive use within the OMV Group. Wherever local regulations permit, the aim is to produce renewable energy and feed it into the electricity grid for use by third parties. The potential for doing this in the countries where OMV has business operations is currently being evaluated. Several renewable power generation projects are being pursued in Romania in the Gas & Power Eastern Europe business.

For more details, please see the Gas & Power Eastern Europe section.