Energy Company of the Year—mid cap
MOL Group is a company prepared to adapt to a rapidly changing future. The Hungarian firm foresees peak demand to hit its Eastern European markets by 2030 and is therefore rethinking its traditional focus on fuel supply. Under the company’s Enter Tomorrow strategy, MOL plans to increase the share of non-fuel products to 50% of overall production by 2030.
Leveraging its position as a market leader, MOL is setting the pace for a shifting industry. However, upstream will remain a core pillar of the business. Unit cost is currently below $7 a barrel and the company plans to maintain its production portfolio, even into a future low price oil environment.
Chemicals are becoming an increasing priority for MOL. The firm will invest $1.5bn every five years until 2030 to keep apace with the industry. MOL will produce more valuable and diverse products for the automotive, packaging and construction sectors, as it expands its value chain and moves into new business arenas. These new commercial ventures will help support regional industry and the creation of hundreds of new employment opportunities.
MOL’s strategy aims to see the company strengthen its market share from 20% to 25–30% in Central and Eastern Europe. The firm also aims to become a regional leader in alternative fuels and broaden its retail business to offer high quality services and solutions. These services include car-sharing, electric mobility and solutions for public transport in cities. Combined, MOL anticipates generating 10% of EBITDA through its new business models by 2030.