Portuguese oil and gas company Galp announced on Monday that it has failed to reach an agreement regarding the proposed merger of its refining and distribution business with those of the Spanish firm Moeve. The negotiations, which had been ongoing for several months, involved Moeve’s shareholders, the Abu Dhabi-based Mubadala Investment Company and the US-based Carlyle group.
Despite the collapse of the merger talks, Galp emphasized that the outcome will not affect its ongoing operations or the company's internal confidence. Paula Amorim, chair of Galp’s Board of Directors, stated that the company maintains an exceptionally strong position within the sector. She highlighted Galp’s attractive upstream growth profile, robust industrial and commercial operations, and a diversified portfolio that incorporates both renewable energy and significant trading activities. According to Amorim, this business mix, supported by a solid balance sheet and strong cash-flow generation, provides a firm foundation for continued growth and value creation.
Galp’s downstream business continues to rely on a leading retail network in Portugal, alongside a portfolio of energy transition projects located in Sines. These initiatives include a biofuels production unit and one of Europe’s largest green hydrogen production projects, which utilizes electrolysis technology.
In a separate financial disclosure released on Monday, Galp reported a 68% year-on-year increase in net profit for the third quarter, reaching 682 million euros. The company attributed these results to a record increase in oil and natural gas production in Brazil, as well as the strong performance of its export and trading activities in international markets.
