In late 2015, OMV announced a new strategic direction. It will grow production by gaining access to low-cost discovered resource opportunities. This was a marked departure from the previous strategy of building a material production hub in the North Sea and diversifying away from high above-ground risk regions. Since 2015, as part of its cost-management efforts, the company cut E&A spend by more than half to US$260 million in 2017. E&A spend in 2018 is expected to stay at similar level although on the rise compared to 2017. OMV’s near-term exploration strategy aims to reduced exposure to high geological risk frontier acreage, increase acreage in low-cost areas and focus on near-field opportunities with existing infrastructure. The company will optimise its portfolio through high-grading their prospect inventory and relinquishments of frontier or high-cost mature acreage.