RAG Austria AG

Our first event in 2022 was a webinar with RAG Austria AG, Austia's largest energy storage company, and one of Europe's leading gas storage facility operators. We were welcomed by CEO Dipl.Ing. Markus Mitteregger and Head of Business Development Siefried Kiss, who presented the company and answered all our questions in the Q&A session.

The focus of RAG Austria AG is on storage, conversion and demand based conditioning of energy in the form of gaseous energy carriers. The company has a gas storage capacity of over 6.2 billion cubic metres of natural gas, or about 6% of the total capacity in the EU. RAG has already converted large parts of its gas reservoirs into storages facilities. These can supply the stored energy at any time and at high capacity. Therefore, RAG is living the vision of „sustainable energy mining“ and makes a major contribution to security of supply for Austria and Central Europe.

 

The company also develops leading edge energy technologies related to green gas that partner renewable energy sources. This is enabling RAG to play a vital role in attaining Austria’s ambitious climate goals, and in the sustainable stewardship of the country’s raw material and energy supplies.

This webinar proved to be very timely, as barely one month later, on 24.2.2022, Russia attacked Ukraine with enormous consequences also for the energy supply, especially gas supply, for Europe.

Q&A session:

 

CEO Markus Mitteregger and Head of Business Development Siegfried Kiss pointed out that the gas storage capacities of RAG Austria AG are three times as big as those of OMV AG. A number of European customers are storing their gas. The task is having gas available just in time. Logistics is a key issue, especially by using wind and photovoltaic as source of energy. RAG Austria AG is fourth in Europe cencerning storage capacities. 10 storages were built in the last 20 years, the ground offers perfect conditions. After having questioned about the restricted delivery of gas from Russia since summer 2021 CEO Mitteregger acknowledged, that the storage facilities reserved for Gazprom were pritty empty. But he pointed out that it was up to their customers to what extent they were storing gas. RAG Austria AG is just offering the storage capacities. A problem was that contrary to legislation concerning oil products storage since the first oil crisis in 1974 there was no legislation on gas storage in Austria (in the meanwhile this legislation exists). According to Mitteregger the just in time mentality without reserves was a mistake.

 

RAG has a capacity of 32 gigawatt thus securing 8% of EU import capacity. The peak demand is during winter period depending on the climatic situation. During winter time hydropower and wind energy are by far not sufficient. Austria is dependent on gas imports. Average gas prices were up already during late 2021 and January 2022, depending much on the situation of wind energy. Since 2015 Rag Austria AG was storing hydrogen. This is going to be increased substantially in 2023, according to Mitteregger. Finally he gave a tour d'horizon about the energy situation in southern Europe and an outlook for the future situation when the United Arab Emirates would have a considerable hydrogen production. He pointed out that the potential was enormous. LNG was limited on the international market as 80% was sold on a long term basis. At the end he emphsized once more that in any case there had to be a legislation for mandatory gas storage.

 

Dipl.Ing. Markus Mitteregger, MBA - Chief Executive Officer (CEO)

Markus Mitteregger started his professional career in 1989 when he became a site manager of the construction company PORR.

Working for RAG since 1991, he held positions in the drilling, planning and operational management departments.

From 1998 onwards, he was responsible for the commercialization of the business and was appointed a member of RAG’s executive board in 2003 and has been CEO since 2008.

Markus Mitteregger holds a master degree in petroleum engineering from the Mining University Leoben, Austria and graduated from California State University as Executive Master of Business Administration.

CEO Markus Mitteregger and Head of Business Development Siegfried Kiss pointed out