Galp Energia SGPS SA has entered a strategic partnership with Moeve, a subsidiary of Mubadala Investment Company, to expand downstream operations across Iberia. The collaboration centers on integrated refining, logistics, and energy retail assets in Portugal and Spain.
- Galp and Moeve formed a joint venture to expand downstream operations in Portugal and Spain
- Sines refinery in Portugal has a capacity of 165,000 barrels per day
- Initial capital commitment of €380 million for the joint venture
- Target: 1.2 million customers served across Iberia by 2027
- Expected operational cost reduction of up to 18% through supply chain optimization
- Integration phase to be completed by Q3 2026
Galp Energia SGPS SA and Moeve, a wholly owned subsidiary of Abu Dhabi’s Mubadala Investment Company, have announced a joint venture to strengthen their presence in the Iberian downstream energy market. The alliance brings together Galp’s existing refining and retail infrastructure in Portugal—particularly the 165,000-barrel-per-day Sines refinery—with Moeve’s growing network of storage terminals, pipelines, and distribution assets across Iberia. The new entity will manage integrated operations including fuel logistics, retail fuel supply, and regional distribution, with initial capital commitments totaling €380 million. The partnership marks a significant shift in the Iberian energy landscape, positioning the joint venture as one of the largest downstream players in the region. It aims to optimize supply chains, reduce operational costs by up to 18%, and increase market share in both Portugal and Spain. The Sines refinery, which currently supplies over 40% of Portugal’s refined product demand, will serve as the central hub, with additional storage facilities in Lisbon and Seville supporting regional distribution. The venture will also deploy digital logistics platforms to enhance delivery efficiency and real-time inventory tracking. Market analysts note that the collaboration reflects growing strategic interest in integrated energy assets amid rising European energy security concerns and decarbonization pressures. The joint venture is expected to complete its first phase of integration by Q3 2026, with a target of serving over 1.2 million customers across Iberia by 2027. The move may also influence competitive dynamics, particularly with major players such as Repsol and Shell, which are reassessing their downstream footprints in response to changing regulatory and market conditions.