Austrian energy and chemicals company OMV is not planning to offload its stake in the petrochemicals subsidiary Borealis, reported Reuters, citing OMV CEO Alfred Stern.

Currently, OMV owns a 75% stake in Borealis while state-run Abu Dhabi National Oil Company (Adnoc) holds the remaining 25% stake. Adnoc also owns a 25% stake in OMV.

In 2022, Adnoc unveiled a growth strategy involving a substantial investment of $150bn (Dh550.88bn) between 2023 and 2027. The plan encompassed the establishment of a new division with a focus on the energy sector, including chemicals.

The announcement triggered speculation regarding Adnoc’s potential acquisition of OMV’s stake in Borealis, which has operations in Belgium, Germany and France, among others.

Stern was quoted by Reuters on the sidelines of an energy conference in New York as saying: “We are not going to sell the Borealis stake.”

OMV is expected to fulfil its gas supply contracts in Austria despite a halt in supplies from Russia’s Gazprom, Stern said.

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“There has been a massive rearrangement of supply chains,” he added.

OMV anticipates refining margins to average between $10 and $15 per barrel. The margins could reduce below that level, Stern noted.

“For the year [it] will be more toward the lower end, but we are looking if we are going to fall out the bottom end of this potentially,” Stern said.

Adnoc acquired a 24.9% stake in OMV from Mubadala Investment Company to raise its holding in European petrochemicals maker Borealis and petrochemicals company Borouge.