Wintershall Dea celebrated its first anniversary of the merger between Wintershall Holding company and Dea Company with the aim of becoming Europe’s leading independent natural gas and oil company, according to a press release.
Mario Mehren, Chairman of the Board of Executive Directors of Wintershall Dea, said that “ The merger came at exactly the right time,” explaining that “Last year we restructured our business operations and we now have an ideal size. As a European champion we are large enough to be relevant to the national oil companies, and at the same time we remain independent and agile – which also allows us to respond flexibly in critical situations such as the current crisis.”
Mehren reflected on one year of success, saying that from the first day of the merger the focus was on reliable and efficient production to maintain business continuity. “In the last twelve months, we have made great progress in other areas, such as shared corporate culture, the introduction of a new operational model as well as taking advantage of the potential for synergies identified,” he elaborated.
The Chairman pointed out that the the company achieved synergies worth more than EUR 100 million at the end of 2019, which was more than expected, adding that these results came from the measures that have been taken in Mexico, Egypt and Norway as well as procurement savings and the first organisational cost savings.
Mehren added that the coronavirus and the expected contraction in the global economy in addition to the oil prices drop represent stress for the industry elaborating that “we will pass this endurance test by further building on our strengths.”
He mentioned that the company has already completed some of the necessary preparations as Wintershall Dea has high levels of reserves and balanced portfolio enabling it to be equipped for the current crisis.
Additionally, Mehren said that the company navigates through the current crisis “having launched new digital collaboration tools a year ago when we merged,” adding that these tools enabled more effective global cooperation for the company.
Mehren ensured that Wintershall Dea will continue to strive to achieve cost savings of at least EUR 200 million per year by 2022.