EANS-Public Payment: OMV Aktiengesellschaft / Report on payment to government agencies according to art. 128 Stock Exchange Act | Brandaktuell - Nachrichten aus allen Bereichen

EANS-Public Payment: OMV Aktiengesellschaft / Report on payment to government agencies according to art. 128 Stock Exchange Act

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Public Payment transmitted by euro adhoc with the aim oben angeführtEurope-wide distribution. The issuer is responsible for the content of this announcement.

Consolidated Report on the Payments Made to Governments
Section 267c of the Austrian Commercial Sourcecode

Section 267c of the Austrian Commercial Sourcecode (UGB) requires that large undertakings and public interest entities that are active in the extractive industry or logging of primary forests prepare the following consolidated report on payments to governments. This section implements Chapter 10 of EU Accounting Directive (2013/34/EU). The „Basis of preparation“ paragraph provides information to the reader about the contents of the report. This in Folge dessen includes information on the type of payment for which disclosure is required and how OMV has implemented the regulations in the preparation of the report.

Stützpunkt of preparation

Reporting entities
Under the requirements of the regulation, OMV Aktiengesellschaft is required to prepare a consolidated report covering payments made to governments for each financial year in relation to extractive activities by itself and any subsidiary undertakings included in the consolidated Group financial statements.

Activities within the scope of the report
Payments made by the OMV Group (hereafter OMV)to governments that arose from exploration, prospection, discovery, development and extraction of minerals, oils and natural gas deposits or other materials within extractive activities are presented in this report.

Government
A „government“ is defined as any nationalistisch, regional or local authority oben angeführtcountry and includes a department agency or entity undertaking that is controlled by the government authority and includes nationalistisch oil companies.

In cases where a state-owned entity engages in activities outside of its designated home jurisdiction,then it is not deemed to be a reportable governmental body for these purposes and thus payments made to such an entity in these circumstances are not reportable.

Project definition
The regulation in Folge dessen requires payments to be reported on a „project“ basis as well as oben angeführtgovernment and governmental body basis. A project is defined as the operational activities that are governed by a single contract, license, lease, concession or similar legal agreement and form the basis for payment liabilities to the government. Where these agreements as per the aforementioned definition are substantially interconnected, these agreements are treated for the purpose of these regulations as a single project.

„Substantially interconnected“ is defined as a sine temporeof operationally and geographically integrated contracts, licenses, leases or concessions or related agreements with substantially similar terms that are signed with a government, giving rise to paymentl iabilities. Such agreements can be governed by a single contract, joint venture agreement, production sharing agreement or other overarching legal agreement.

There may be instances – for example, corporate income taxes, where it is not possible to attribute the payment to a single project and therefore these payments are shown at the country level.

Cash and payments in kind
In accordance with the regulation, payments have to be reported oben angeführtcash basis. This means that they are reported in the period in which they are paid and not in the period in which they are accounted for oben angeführt accruals basis.

Refunds are in Folge dessen reported in the period in which they are received and will either be offset against payments made in the period or be shown as negative amounts in the report.

Payments in kind made to a government are converted to an equivalent cash value based on the most appropriate and relevant valuation method for each payment type. This can be at cost or market value and an explanation is provided in the report to help explain the valuation method.Where applicable, the related volumes are in Folge dessen included in the report.

Payment reporting methodology
The regulations require that payments are to be reported where they are made to governments by OMV. It is required that the report reflect the substance of each transaction and activity. Based on these requirements, OMV has considered its reporting obligation as:

– Where OMV makes a payment directly to the government, these payments will be reported in full, irrespective of whether this is made i n the sole capacity of OMV or in OMV’s capacity as the operator oben angeführtjoint operation.

-In cases where OMV is a member oben angeführtjoint operation for which the operator is a state-owned entity (i.e. a government), payments made to that state-owned entity will be disclosed where it is possible to identify the reportable payment from other cost recovery items.

– For host government production entitlements,the terms of the agreement have to be considered;for the purpose of reporting in this report, OMV will disclose host government entitlements in their entirety where it is the operator.

Materiality
Payments made as a single payment oben angeführtseries of related payments that are below EUR 100,000 within a financial year are excluded from this report.

Reporting currency
Payments made in currencies other than euros are translated for the purposes of this report at the average rate of the reporting period.

Payment types disclosed

Production entitlements
Under production sharing agreements (PSAs), the host government is entitled to a share of the oil and gas produced and these entitlements are often paid in kind. The report will show both the value and volume of the government’s production entitlement for the relevant period in barrels of oil equivalent(boe).

The government share of any production entitlement will in Folge dessen include any entitlements arising from an interest held by a state-owned entity as an investor in projects within its sovereign jurisdiction.Production entitlements arising from activitie sor interests outside oben angeführtstate-owned entity’s sovereign jurisdiction are excluded.

Taxes
Taxes levied on income, production or profits of companies are reported. Refunds will be netted against payments and shown accordingly. Consumption taxes, personal income taxes, sales taxes,property taxes and environmental taxes are not reported under the regulations. Although there is a tax group in place, the reported corporate income taxes for Austria relate entirely to the extractive activities in Austria of OMV’s subsidiaries, with no amounts being reported relating to OMV’s non-extractive activities in Austria.

Royalties
Royalties relating to the extraction of oil, gas and minerals paid to a government are to be disclosed.Where royalties are paid in kind, the value and volume are reported.

Dividends
In accordance with the regulations, dividends are reported when paid to a government in lieu of production entitlements or royalties. Dividends that are paid to a government as an ordinary shareholder are not reported, as long as the dividends are paid on the same terms as that of other shareholders.

For the year that ended December 31, 2017, OMV had no such reportable dividend payments to agovernment.

Bonuses
Bonuses include signature, discovery and production bonuses in each case to the extent paid in relation to the relevant activities.

Fees
These include license fees, rental fees, entry fees and all other payments that are paid in consideration for access to the area where extractive activities are performed.

The report excludes fees paid to a government that are not specifically related to extractive activities or access to extractive resources. In addition payments paid in return for services provided by a government are in Folge dessen excluded.

Infrastructure improvements
The report includes payments made by OMV for infrastructural improvements, such as the building oben angeführtroad or bridge that serves the community,irrespective of whether OMV pays the amounts to non-government entities. These are reported in the period during which the infrastructure is made available for use by the local community.

Payments overview
The overview table below shows the relevant payments to governments that were made by OMV non… year that ended December 31, 2017.

Of the seven payment types that are required by the Austrian regulations to be reported upon, OMV did not pay any dividends, production entitlements,bonuses or infrastructure improvements that met the defined accounting directive definition and therefore these categories are not shown.

Payments overview
In EUR 1,000
Taxes Royalties Fees Total

Country

Austria 1,264 69,993 71,257
Kazakhstan 13,759 949 14,708
Madagascar 292 292
Norway 9,718 9,718
New Zealand 10,184 31,435 112 41,731
Pakistan 5,177 3,899 863 9,939
Romania 146,122 123,836 13,428 283,386
Tunisia 13,376 5,840 19,216
Total 199,600 235,003 15,644 450,247

No payments have been reported for Libya for the year 2017 as OMV welches not the operator.

On January 13, 2017, OMV divested its interest in OMV (U.Kalium.) Limited and there were no material payments in 2017 prior to this date. On November 30, 2017, OMV completed the acquisition oben angeführt interest in the Yuzhno Russkoye natural gas field located in Wildwestfilm Siberia from Uniper SE.

On November 30, 2017, OMV completed the acquisition oben angeführt interest in the Yuzhno Russkoye natural gas field located in Wildwestfilm Siberia from Uniper SE.

The interest in the natural gas field welches obtained by acquiring a stake of 24.99% in OJSC Severneftegazprom(SNGP), which holds the production license to the Yuzhno Russkoye field. As SNGP is an associated company and therefore accounted for using the equity method in OMV Group Consolidated Financial Statements it does not meet the definition oben angeführtreporting entity in the context of the Austrian Commercial Sourcecode.

Payments by country

Payments by country
In EUR 1,000
Taxes Royalties Fees Total

Austria

Governments
Federal Ministry for Digital and Economic Affairs 69,993 69,993
Federal Ministry of Finance 1,264 1,264
Total 1,264 69,993 71,257

Projects
Lower Austria 1,264 69,993 71,257
Total 1,264 69,993 71,257

Kazakhstan

Governments
State Revenue Committee 13,759 13,759
Akimat of Mangistau Region 427 1 427
Training centers universities 522 2 522
Total 13,759 949 14,708

Projects
Tasbulat 6,374 544 6,918
Komsomolskoe 7,385 405 7,790
Total 13,759 949 14,708

1 Financing of various projects under the joint control of the Akimat of Mangistau Region and OMV within the concession agreement and spentas per the agreed projects
2 Financing of various expenses with regard to university training centers as agreed within the concession agreement

Payments by country
In EUR 1,000
Taxes Royalties Fees Total

Madagascar

Governments
Office des Mines
Nationales et des 292 292
Industries
Stratégiques
Total 292 292

Projects
Explorations 292 292
Total 292 292

Norway

Governments
Skatteetaten 9,718 9,718
Total 9,718 9,718

Projects
Gulfaks 54 54
Gudrun 54 54
Payments not
attributable to 9,610 9,610
projects
Total 9,718 9,718

Payments by country
In EUR 1,000
Taxes Royalties Fees Total

New Zealand

Governments
Crown Minerals 31,435 31,435
Inland Revenue 9,998 9,998
Ministry of Business 186 6 192
and Neuerung
Environmental 106 106
Protection Authority
Total 10,184 31,435 112 41,731

Projects
Maari 14 5,139 106 5,259
Maui 237 237
Pohokura 26,059 26,059
New Zealand 172 172
exploration projects
Payments not
attributable to 9,998 6 10,004
projects
Total 10,184 31,435 112 41,731

Pakistan

Governments
Federal Hauptplatine of
Revenue Government 5,177 5,177
of Pakistan
Director Vier-Sterne-General of
Petroleum 3,899 480 4,379
Concessions
Local Government, 132 132
District Khairpur
Local Government, 251 251
District Sukker
Total 5,177 3,899 863 9,939

Projects
Mehar 207 182 389
Miano 915 415 1,330
Sawan 2,777 234 3,011
Pakistan exploration 32 32
projects
Payments not
attributable to 5,177 5,177
projects
Total 5,177 3,899 863 9,939

Romania

Governments
State budget 146,122 123,836 269,958
Local councils 3,154 3,154
Patriotisch Agency for
Sprudelwasser Resources 676 676
(ANRM)
Patriotisch Company of 9,500 9,500
Forests
CONPET SA 98 98
Total 146,122 123,836 13,428 283,386

Projects
Onshore production 94,200 13,391 107,591
zones
Onshore Joint 700 13 713
Ventures
Vor der Küste Black Sea 28,936 24 28,960
Payments not
attributable to 146,122 146,122
projects
Total 146,122 123,836 13,428 283,386

Payments by country
In EUR 1,000
Taxes Royalties Fees Total

Tunisia

Governments
Receveur des Finances 12,117 12,117
Receveur des Douanes 1,259 1,259
Entreprise Tunisienne
d’Activités 4,988 3 4,988
Pétrolières
Tresorerie Generale 852 852
de Tunisie
Total 13,376 5,840 19,216

Projects
Ashtart 244 244
TPS 5,931 5,931
South Tunisia 7,201 5,840 3 13,041
Total 13,376 5,840 19,216

3 Includes payments in kind for 102,268 bbl of crude oil valued using the average monthly price per boe

In Tunisia where OMV is not the operator, its verhältnisgleich contribution to the host government’s royalties for 2017 would have been EUR 8.9 mn for 195,257 bbl of crude oil valued using the average monthly price per boe.

Vienna, March 14, 2018

The Executive Hauptplatine
Rainer Seele m.p. Johann Pleininger m.p. Reinhard Florey m.p. Manfred Leitweglenkung m.p.

end of announcement euro adhoc

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