1. CLIMATE CHANGE

General aim: Manage risks and opportunities related to climate change

ACHIEVEMENTS:

• A geothermal concession contract for the Jászberény area was signed by MOL Group Joint Venture CEGE (65% MOL share) in 2014. Project plans include starting a 2 year exploration program that will establish and test a system composed of one pair of wells.
• Analysis of the most important 50 energy efficiency projects, many of them from the New Downstream Program, shows that compared to the baseline year 2011, the emission of 320 thousand tonnes of CO2 was avoided by Exploration and Production and Downstream production operations. These projects alone resulted in an annual financial savings of almost HUF 13bn in 2014.
• 47% of total direct CO2 emissions in the Exploration and Production division is related to the venting of the CO2 that is produced together with hydrocarbons and released to the atmosphere. This was significantly reduced from 419 thousand tonnes in 2013 to 361 thousand tonnes in 2014 as a result of the Enhanced Oil Recovery (EOR) program at INA which came into operation at the end of 2014.

CHALLENGES:

• Decreasing number of potential energy efficiency programs with short return on investment.

Climate change is one of the most important megatrends to impact the business environment of the company. MOL Group’s efforts are primarily focused on managing risks and exploiting the potential opportunities associated with Climate Change. The overall approach is described in the Climate Change Statement of MOL Group which is publicly available on the website.