Mozambique: State-run Petromoc Profits Plunge to $1.7 Million in 2024, a 90% Decline

Mozambique’s state-owned oil company Petromoc saw its profits plummet by 90% in 2024, falling to 127 million meticais (approximately $1.9 million), according to the company’s published financial statements. This marks a sharp drop compared to 2023, when the fuel distributor posted profits of 1.2 billion meticais (around $19.1 million).

Despite the profit decline, Petromoc maintains equity of 872 million meticais ($13.6 million), still less than half of its share capital. This places the company under the provisions of Article 98 of the Commercial Code, which concerns companies in financial distress.

To ensure business continuity, Petromoc is implementing long-term operational and business plans aimed at improving its financial performance. One key measure is a state guarantee of 3.6 billion meticais ($56.3 million), which secures the continuation of fuel imports—Petromoc’s core activity.

The company is also focused on reducing operational costs and modernizing its storage, distribution infrastructure, and retail network. Petromoc operates roughly 120 fuel stations and holds a market share of over 20%. In its report, the company emphasizes the need for stronger collaboration with the fuel sector regulator to enforce existing laws and combat unfair competition practices, particularly in retail management.

Petromoc employs around 400 workers and manages five ocean terminals, seven aviation facilities, and 11 intermediate depots, with a total storage capacity of nearly 445,000 cubic meters of fuel. Source: Lusa