Mozambique’s Minister of Mineral Resources and Energy, Max Tonela, on 3 December authorized the transfer of the rights relating to BP’s downstream assets to the French company TotalEnergies.
This will include the transfer of various infrastructure, equipment, and real estate. BP will continue to provide aviation fuels, lubricants, and fuel transportation.
According to Tuesday’s edition of the daily newspaper, “Noticias”, as a result of the transfer TotalEnergies will be obliged to pay capital gains tax.
The transfer of assets will result in TotalEnergies increasing its market share but the authorities have placed restrictions on future activities: the company cannot increase its market share of petroleum products beyond thirty percent, nor can it reduce its related economic activities by more than thirty percent within five years of the transaction.
TotalEnergies currently controls 11.48 percent of the market whilst BP has a market share of 7.57. The rest of the market is shared between Petrogal (12.66 per cent), Petromoc (24.26 per cent), Companhia de Abastecimento de Combustíveis (0.17 per cent), Petroda (0.21 per cent), Exor (0.20 per cent), GTS (0.60 per cent), Camel Oil (2.60 per cent), Glencore (2.31 per cent), African Petroleum (1.20 per cent), IPM (0.02 per cent), Mount Meru (3.29 per cent), Puma Mozambique (13.24 per cent), Petromoc and Sasol (8.10 per cent), and Engen Petroleum Mozambique (12.09 per cent).