Spanish energy company Moeve has agreed to sell its minority stakes in several Algerian oil fields to Indonesian state-owned enterprise Pertamina. The deal, announced on November 4, includes Moeve's participations in the onshore oil fields of Rhourde el Khrouf, Bir el Msana, and Ourhoud, located in the Berkine basin in southern Algeria. The financial terms of the transaction were not disclosed.
The sale is part of Moeve's strategy to shift focus towards low-carbon activities. The company has been divesting its exploration and production assets in recent years, including sales in Abu Dhabi and South America. With this latest deal, Moeve completes its exit from oil exploration and production activities. The company, formerly known as Cepsa, rebranded in 2024 as part of its strategic overhaul.
Moeve is controlled by Abu Dhabi's Mubadala, with a 62% stake, and US private equity firm Carlyle, which holds around 38%. The sale marks the first divestment of Emirati assets in Algeria since the two countries announced a diplomatic rift on September 10. The Algerian government has been seeking to increase investment in its energy sector.
The Berkine basin is a significant oil-producing region in Algeria. Moeve's stake in the fields was not specified. The company's decision to exit the oil business reflects a broader shift in the energy industry towards cleaner fuels. Moeve aims to develop its activities in green hydrogen and biofuels, with an investment plan of €8 billion.
Despite exiting the oil business, Moeve will maintain a presence in the energy sector, with refining assets in Spain. The company also plans to explore opportunities in renewable energy, green hydrogen, and chemicals in Algeria. The North African country has been investing in its renewable energy sector.
The sale to Pertamina is part of a broader strategy by Moeve to focus on sustainable energy. The Indonesian company is expanding its presence in the global energy market. The deal is expected to be completed in the coming months, subject to regulatory approvals.
The transaction reflects a changing landscape in the global energy sector, with companies increasingly shifting focus towards cleaner fuels. Algeria, a significant oil producer, is also seeking to diversify its energy mix. The country's energy sector has been impacted by the diplomatic rift with the UAE.
Key points
- Moeve sells its Algerian oil assets to Pertamina as part of its strategy to focus on low-carbon activities.
- The sale marks the first divestment of Emirati assets in Algeria since the two countries announced a diplomatic rift.
- Moeve aims to develop its activities in green hydrogen and biofuels, with an investment plan of €8 billion.
