Moeve
Moeve is a Spanish multinational energy company, formerly known as Cepsa and founded in 1929, specializing in integrated operations across oil, gas, refining, chemicals, and emerging sustainable technologies.[1][2] Headquartered at Cepsa Tower on Paseo de la Castellana in Madrid, the company employs approximately 11,000 people globally and maintains over 1,800 service stations in Spain and Portugal.[3][1][4] In October 2024, it rebranded to Moeve to underscore its "Positive Motion" strategy, which includes divesting nearly 70% of upstream oil production assets since 2022 and investing up to €8 billion in green hydrogen, second-generation biofuels, and electric mobility infrastructure, such as a 2 GW green hydrogen facility and Southern Europe's largest biofuels plant.[1] Owned by Abu Dhabi's Mubadala Investment Company and the U.S.-based Carlyle Group, Moeve positions itself as Spain's second-largest oil company while targeting a shift where sustainable activities generate the majority of profits by the end of the decade.[1][5]Company Overview
Founding and Rebranding
Compañía Española de Petróleos, S.A. (CEPSA) was established on March 8, 1929, by financier Francisco Recasens and a consortium of Spanish investors as the nation's first private oil company, in response to the Royal Decree of June 28, 1927, which ended the state petroleum monopoly and encouraged private imports.[6][7] The company's early operations centered on importing and distributing petroleum products to meet growing domestic demand, with initial capital of 50 million pesetas raised through stock issuance.[6] By 1930, CEPSA had constructed Spain's inaugural refinery on Tenerife's La Laguna Bay, processing imported crude to bolster supply security amid limited local production.[8] On October 30, 2024, CEPSA rebranded to Moeve after 95 years under its original name, a move signaling a pivot toward "molecules for the energy of the future" such as green hydrogen, second-generation biofuels, and sustainable chemicals, while preserving core upstream and refining hydrocarbon activities.[9][1] The rebranding, pronounced "Moo-eh-vey" to evoke movement and evolution, supports the firm's 2030 Positive Motion strategy for net-zero emissions and aligns with its majority ownership by Abu Dhabi's Mubadala Energy since 2021, which has driven investments exceeding €5 billion in low-carbon initiatives.[10][11] This transformation positions Moeve as a European leader in energy transition without divesting traditional oil and gas assets.[9]Ownership and Corporate Governance
Moeve is majority-owned by Mubadala Investment Company, the Abu Dhabi sovereign wealth fund, which holds control through Cepsa Holding, LLC with 61.36% of the share capital as of May 2025.[12] The Carlyle Group owns the remaining minority stake, approximately 38.64%, following its acquisition of a significant shareholding from Mubadala in 2021 at an enterprise value of $12 billion.[13] [12] Prior to this transaction, Moeve's predecessor Cepsa was fully controlled by Mubadala and its predecessor entity, the International Petroleum Investment Company (IPIC).[10] The company's headquarters are located in Madrid, Spain, at Torre Cepsa within the Cuatro Torres Business Area.[5] The Board of Directors, responsible for overseeing management and strategic development, consists of members with specialized expertise in energy and related sectors.[14] Key figures include Chairman Ahmed Yahia Al Idrissi, Chief Executive Officer Maarten Wetselaar, and independent directors such as Soraya Sáenz de Santamaría and Ángel Corcóstegui Guraya.[14] [15] Governance practices are governed by the Board's regulations, which establish authority within the corporate purpose and emphasize oversight of business operations.[16] Supporting committees include the Audit, Compliance, Ethics and Risks Committee, comprising at least three non-executive directors, and the Nomination, Compensation & Sustainability Committee, which addresses executive remuneration, succession, and sustainability integration.[17] [18] Moeve aligns with international governance standards through annual integrated management reporting that incorporates environmental, social, and governance (ESG) metrics, while as a privately held entity, strategic decisions prioritize long-term value creation for shareholders Mubadala and Carlyle.[19]Global Operations and Workforce
Moeve operates as an integrated energy company with a presence across five continents, including significant activities in Europe, the Middle East, Africa, and the Americas, serving customers worldwide through exploration, production, refining, and distribution of energy products.[8][2] Headquartered in Madrid, Spain, at the Torre Cepsa within the Cuatro Torres Business Area, the company maintains its primary base in Spain while extending operations to key international markets, such as marine fuel supply in the Strait of Gibraltar region.[5] As of 2025, Moeve employs approximately 11,000 people globally, with a workforce focused on technical expertise in oil and gas exploration, production, refining, and related energy distribution activities.[5][4] The company's integrated value chain encompasses upstream activities like resource extraction, midstream logistics, and downstream retail fuels, electricity generation, and chemicals distribution, enabling efficient global-scale operations without reliance on third-party intermediaries for core processes.[2] This structure supports Moeve's role in supplying energy to diverse markets, particularly emphasizing Spain as its operational hub and strategic chokepoints like the Gibraltar Strait for international shipping fuels.[5]Historical Development
Origins as Cepsa (1929–1990s)
Compañía Española de Petróleos, S.A. (Cepsa) was established on September 26, 1929, by financier Francisco Recasens and a group of private Spanish investors in response to the Royal Decree of June 28, 1927, which instituted a state monopoly on petroleum imports and distribution through Compañía Arrendataria del Monopolio de Petróleos, S.A. (Campsi) while permitting private entities to develop refining capacity.[7] The company's formation aimed to enhance Spain's energy security by processing imported crude oil domestically, thereby mitigating vulnerabilities to global supply disruptions and foreign dominance in the sector at a time when Spain imported nearly all its petroleum needs.[20] As a private venture, Cepsa operated under regulatory constraints, supplying refined products exclusively to Campsi for domestic distribution and facing government oversight on export sales, which effectively granted the state veto power over its commercial activities. In 1930, Cepsa commissioned Spain's inaugural oil refinery in Santa Cruz de Tenerife, Canary Islands, with an initial capacity to process around 100,000 tons of crude annually, marking the onset of domestic refining to support national consumption and maritime bunkering. During the Spanish Civil War (1936–1939) and subsequent Franco regime (1939–1975), Cepsa maintained its private ownership status, distinguishing it from state-controlled entities, while navigating wartime shortages and postwar autarkic policies that prioritized energy self-sufficiency.[20] The company supplied refined products to the government monopoly, contributing to Spain's industrial recovery without undergoing nationalization, unlike aspects of other sectors under the regime's economic nationalism. Post-World War II economic stabilization in 1959 facilitated Cepsa's expansion, including diversification into lubricant production in 1950 and petrochemicals in 1955, alongside investments in additional refining infrastructure on the mainland during the 1950s and 1960s to meet rising domestic demand driven by industrialization.[20] By the 1970s, the OPEC oil crises prompted further adaptations, such as capacity upgrades at existing facilities, enabling Cepsa to capitalize on volatile global prices while sustaining Spain's import-dependent supply chain through enhanced processing efficiency. Throughout the 1980s and into the 1990s, as Spain integrated into the European Economic Community in 1986, Cepsa pursued modernization and international sourcing strategies, solidifying its role as a key private player in the nation's energy sector without shifts to state ownership or subsequent privatization.[20]Expansion and International Growth (2000s–2010s)
In the early 2000s, the International Petroleum Investment Company (IPIC) of Abu Dhabi deepened its ownership in Cepsa, acquiring a controlling stake that facilitated significant upstream investments in North Africa and the Middle East.[8] This shift provided capital for exploration and production expansion, with Cepsa focusing on oil and gas fields in Algeria, where it had been active since 1992 and operated assets like the Rhourde el Krouf (RKF) and Ourhoud fields in partnership with Sonatrach.[21][22] By the mid-2000s, Cepsa targeted further growth in North Africa, seeking stakes of 15-40% in Egyptian opportunities and enhancing Algerian operations to bolster reserves amid rising global demand.[23] Key joint ventures included collaborations with Total, which held a substantial stake in Cepsa until 2011 and supported refining synergies, alongside direct expansions into Algerian gas infrastructure.[24] Cepsa increased production sharing contracts in blocks like Rhourde Yacoub, investing over $1 billion cumulatively in Algerian upstream by the 2010s, emphasizing gas fields to diversify from crude oil volatility.[25] These efforts extended to Middle East ties, with early Persian Gulf partnerships under IPIC's umbrella enabling technology transfers and reserve access.[8] The 2008 financial crisis triggered a sharp downturn in oil prices and demand, prompting Cepsa to prioritize operational efficiency and cost controls while maintaining capital expenditures of €621 million in 2010 for upstream and refining upgrades.[26][27] In response to the U.S. shale boom's global supply surge, Cepsa diversified into liquefied natural gas (LNG) via a 42% stake in the Medgaz pipeline, operational from 2011 to transport Algerian gas to Europe, and bolstered chemicals production to hedge against refining margins.[28] Refining capacity reached approximately 26 million tonnes per year by 2010, with emphasis on yield optimization rather than aggressive new builds to navigate market turbulence.[29]Rebranding to Moeve and Strategic Shifts (2020s)
In October 2024, Compañía Española de Petróleos, S.A.U. (Cepsa) rebranded to Moeve, marking the first name change in its 95-year history and signaling a strategic pivot toward low-carbon energy solutions.[1] The rebranding, announced on October 30, 2024, positions Moeve as a leader in sustainable energy and mobility, with emphasis on green molecules such as hydrogen, biofuels, and e-fuels, while continuing operations in traditional hydrocarbons to ensure energy reliability.[10] A phased rollout began in November 2024 across corporate offices, service stations, and global advertising campaigns.[11] This shift accelerated under the 2030 Positive Motion strategy, launched in March 2022, which commits €7–8 billion to energy transition projects, with over 60% allocated to sustainable businesses.[30] Key initiatives include alliances with more than 60 partners for green hydrogen production and biofuels, alongside divestment of 70% of upstream oil assets since 2022 to reduce fossil fuel exposure.[31] Despite these efforts, hydrocarbons remain central, with the strategy aiming for a majority of profits from sustainable activities only by decade's end, underscoring a hybrid approach that balances decarbonization ambitions with the economic realities of energy demand.[10][32] The Russian invasion of Ukraine in February 2022 profoundly influenced Moeve's operations, boosting European refining margins amid supply disruptions and sanctions on Russian crude.[33] Cepsa's average refining margin rose to $9.6 per barrel for the full year 2022, up from $3.7 the prior year, driven by tighter product markets and reduced Russian imports across Europe.[34] In response, the company adapted supply chains by sourcing alternative crudes and optimizing refinery utilization, though margins later normalized to $10 per barrel in 2023.[35] These geopolitical pressures reinforced the strategic rationale for hybrid models, prioritizing resilient hydrocarbon infrastructure alongside renewable scaling to mitigate volatility.[36]Business Operations
Upstream Exploration and Production
Moeve's upstream segment encompasses the exploration, development, and production of hydrocarbons, with a current focus on optimizing low-cost assets in mature basins following extensive divestments. As part of its energy transition strategy, the company sold its exploration and production assets in Colombia (including fields such as Caracara, Llanos 22, San Jacinto, and Río Paez) and Peru (Los Ángeles and Block 131) during 2024, alongside prior sales in Abu Dhabi in 2023, resulting in a approximately 70% reduction in overall upstream exposure. Remaining operations are centered in Algeria's Berkine and Timimoun Basins, where Moeve partners with Sonatrach to produce light crude oil and natural gas from established fields, and in Suriname's Guyana-Suriname Basin for offshore exploration and appraisal activities. These efforts prioritize geological targeting in proven hydrocarbon-prone areas, such as the prolific Berkine Basin, to extract economically viable reserves under fluctuating commodity prices that averaged $80.8 per barrel for crude in 2024.[37][38] Production in 2024 totaled 8.4 million barrels of oil equivalent (mmboe), comprising 7.7 mmboe from fossil fuels and 0.7 mmboe from natural gas, down from 11.4 mmboe in 2023 due to the divestments and natural field declines. Working interest crude oil output averaged 34,400 barrels per day (bbl/d), with net entitlement at 23,300 bbl/d, reflecting efficient operations in Algeria's mature reservoirs where enhanced recovery methods, including water and gas injection, are applied to counteract depletion and maintain output from fields like Rhourde El Krouf. In Suriname, activities remain exploratory, assessing seismic data and drilling prospects in a basin with significant untapped potential but high geological risks associated with frontier acreage. Economic factors, including realized oil prices of $79.2 per barrel and an internal carbon pricing mechanism at €65 per tonne (rising to €140 by 2030), guide investment decisions toward assets with lower breakeven costs and reduced emissions intensity.[37][39] Geopolitical and operational risks are prominent, particularly in Algeria, where regulatory approvals, fiscal terms with state partner Sonatrach, and regional instability could impact production continuity and contract renewals. These are balanced by the diversified portfolio, with Suriname offering exposure to lower-carbon offshore gas potential, though subject to exploration dry-hole risks and capital-intensive development. Moeve's approach emphasizes cost discipline in mature fields, where basin-specific reservoir engineering—drawing on decades of data from Algeria's supergiant discoveries—supports reserve replacement rates and long-term viability, even as global oil demand dynamics and transition pressures constrain new upstream commitments.[37][10]Refining and Downstream Activities
Moeve operates three refineries with a combined annual capacity of 21.5 million tonnes: the Gibraltar-San Roque facility in Spain, the Algeciras facility in Spain, and La Pampilla in Peru.[40] The Gibraltar-San Roque refinery, located in the Bay of Algeciras area, processes 12 million tonnes per year through advanced cracking units designed for high-complexity refining, enabling the production of premium distillates including jet fuel and diesel.[41][42] Similarly, the Algeciras operations support integrated refining with a capacity exceeding 244,000 barrels per day, focusing on efficient conversion to transportation fuels.[43] Downstream logistics emphasize distribution networks tailored to key markets, including marine bunkering in the Strait of Gibraltar, where Moeve holds a leading position as Spain's primary supplier of vessel fuels via dedicated piers and terminals operating 24/7.[44] In retail, the company maintains over 1,800 service stations across Spain, distributing diesel, gasoline, and related products through its branded network.[40] Refinery maintenance involves periodic shutdowns for upgrades and efficiency improvements; in the first half of 2025, scheduled halts across facilities reduced overall utilization rates, with advanced simulations employed to enhance safety and minimize downtime.[45][46] These activities prioritize operational reliability, supporting consistent output of high-value refined products amid logistical demands in high-traffic maritime corridors.[47]Chemicals and Diversified Segments
Moeve's chemicals segment operates primarily through its subsidiary Moeve Química, which focuses on the production of petrochemicals integrated with the company's refining operations. This includes aromatic hydrocarbons such as toluene, xylene, and cumene, derived from naphtha cracking processes that utilize refinery outputs for efficiency.[48][49] The segment also produces linear alkylbenzene (LAB), a key surfactant precursor, at its dedicated facility in Bécancour, Canada, with an annual capacity of approximately 120,000 metric tons; this involves the alkylation of benzene with linear alpha olefins sourced from petrochemical feedstocks.[50][51] These activities stem from the 2010 merger of Cepsa's petrochemical subsidiaries—ERTISA, INTERQUISA, and PETRESA—into a unified entity, enabling streamlined production of aromatics and related intermediates for downstream applications in detergents, solvents, and resins.[52] The chemicals division generates a modest but stable portion of Moeve's earnings, contributing €68 million to clean CCS EBITDA in the third quarter of 2024 amid volatile commodity prices.[53] This represents roughly 10-15% of the company's overall EBITDA on an annualized basis, supported by synergies with refining but exposed to global demand fluctuations for petrochemical feedstocks. Recent expansions include higher-value products like anionic surfactants (e.g., RECO series) and bio-based variants, though output remains tied to hydrocarbon-derived processes.[54][55] Beyond core petrochemicals, Moeve maintains diversified operations in asphalt and lubricants, capitalizing on refining byproducts for specialized markets. The asphalt business, active since 1957, produces bitumen, emulsions, and modified bitumens for road paving and industrial uses, with production facilities integrated into downstream logistics.[56] Lubricants, marketed under the legacy Cepsa brand, position Moeve as a leading supplier in Spain, offering formulations for automotive, marine, and industrial applications that meet stringent quality standards derived from base oil refining.[57] These segments provide incremental revenue streams, enhancing portfolio resilience without significant capital divergence from hydrocarbon infrastructure.Energy Transition and Sustainability
Commitments to Green Molecules and Decarbonization
Moeve has committed to achieving net-zero emissions across Scopes 1, 2, and 3 by 2050, aligning with International Energy Agency scenarios limiting global warming to 1.5°C.[58] This includes interim targets of reducing Scope 1 and 2 emissions by 55% by 2030 compared to 2019 levels, alongside a 15-20% reduction in the carbon intensity index of its products.[59] The company's Positive Motion strategy allocates €7-8 billion in investments over the decade, with over 60% directed toward sustainable initiatives such as green hydrogen, biofuels, and low-carbon chemicals.[60] A cornerstone project is the Andalusian Green Hydrogen Valley, Europe's largest green hydrogen initiative, valued at €3 billion and targeting annual production of 300,000 tonnes using 2 GW of electrolyzers in Huelva and Cádiz provinces.[61] Launched with €303.75 million in Spanish government funding under the PERTE ERHA program, the project aims to prevent 6 million tonnes of CO2 emissions yearly by supplying renewable hydrogen for industrial and mobility applications.[62] Construction began in 2025, with expected job creation of up to 10,000 positions during peak development.[63] In biofuels, Moeve is constructing southern Europe's largest second-generation (2G) biofuels facility in Huelva through a joint venture with Bio-Oils (a subsidiary of Apical Group), involving a €1.2 billion investment.[64] Set to commence operations in 2026, the plant will produce 500,000 tonnes annually of sustainable aviation fuel (SAF) and renewable diesel from waste oils and fats, supported by a €285 million loan from the European Investment Bank.[65] Moeve supplied 18,000 tonnes of SAF in 2024 via alliances with airlines including easyJet, Iberia, Vueling, and Volotea, achieving up to 90% lifecycle CO2 reductions compared to fossil jet fuel.[66] Additional partnerships, such as a 2025 memorandum with Zaffra for e-SAF production at hydrogen hubs, target compliance with EU ReFuelEU Aviation mandates requiring 6% SAF blending by 2030.[67] Emissions reductions emphasize operational efficiencies and process improvements, including energy-efficient waste management at facilities like Puente Mayorga and renewable energy tracking in chemicals production, yielding a 19% lower carbon footprint for select products.[68] Moeve reports progress through direct Scope 1 and 2 cuts via these measures, distinct from offset mechanisms.[69]Empirical Challenges and Economic Realities of Transition
The production of green hydrogen, a key "green molecule" targeted in energy transition strategies, remains economically unviable at scale without substantial subsidies due to its high costs compared to conventional gray hydrogen derived from natural gas steam methane reforming. As of 2023, green hydrogen production costs ranged from $4-6 per kilogram, approximately two to three times higher than gray hydrogen, primarily driven by the expense of renewable electricity and electrolyzer capital expenditures.[70] Recent modeling for proton exchange membrane (PEM) electrolyzers indicates levelized costs of $5-7 per kilogram without incentives, underscoring the reliance on policy support to bridge the gap to competitiveness.[71] In contrast, unabated fossil-based hydrogen production incurs costs one-and-a-half to six times lower, highlighting the economic barriers to displacing dispatchable hydrocarbon feedstocks in industrial applications.[72] Renewable energy sources essential for green hydrogen and electrification face inherent intermittency, contrasting sharply with the dispatchability of fossil fuels for baseload power needs. Wind and solar generation fluctuate unpredictably, necessitating overbuild and storage to achieve reliability comparable to natural gas or coal plants, which can ramp output on demand to match grid requirements.[73] Empirical assessments, such as those from the North American Electric Reliability Corporation (NERC), project heightened outage risks by 2030 in grids with rising renewable penetration due to reduced dispatchable capacity, even as battery storage projections increase. This vulnerability was starkly evident in Europe's 2022-2023 energy crisis, where policy-driven delays in fossil fuel phase-outs amid Russian supply disruptions led to record-high imports of liquefied natural gas (LNG) and coal, with the EU's energy import dependency reaching 62.5%—the highest since 1990—despite accelerated renewable deployments.[74] Gas market analyses confirm that emergency measures, including reactivated coal plants, averted blackouts but exposed the limitations of intermittent sources in providing firm capacity during peak demand or low-wind/solar periods.[75] Fundamental physical and supply chain constraints further impede rapid scaling of transition technologies. Alkaline and PEM electrolyzers, central to green hydrogen, achieve practical efficiencies of 60-80%, constrained by overpotentials and thermodynamic losses in water splitting, with performance degrading at variable loads typical of renewable inputs—often dropping below 70% efficiency outside optimal operating points.[76] Additionally, the energy transition's demand for critical minerals like lithium, cobalt, nickel, and rare earths faces bottlenecks from geographically concentrated production—China dominates over 60% of refining for many—and limited economically recoverable reserves, potentially inflating costs and delaying deployment timelines.[77] Studies indicate these supply risks could restrict short-term mineral availability, pressuring models of accelerated decarbonization and necessitating diversified sourcing or technological substitutions not yet viable at commercial scales.[78]Financial Performance
Key Metrics and Revenue Streams
Moeve's annual revenues have historically ranged between €20 billion and €25 billion, driven by its integrated energy model spanning upstream production, refining and downstream marketing, and chemicals manufacturing.[3] The downstream segment, encompassing refining and fuel sales, has consistently accounted for the largest share, approximately 60% of total revenues, benefiting from high-volume operations at facilities like the Gibraltar-San Roque energy parks.[37] Upstream activities contribute around 20%, though this portion has declined following strategic divestments of oil production assets since 2022, including sales in Abu Dhabi and South America.[38] Chemicals, focusing on products like linear alkylbenzene and biofuels precursors, represent about 15% of revenues, with growth tied to demand for specialty solvents and sustainable feedstocks.[79] EBITDA performance is closely linked to refining crack spreads, which measure the difference between crude oil input costs and refined product outputs, exhibiting volatility influenced by global oil prices and geopolitical events. In 2022, following Russia's invasion of Ukraine, crack spreads surged, propelling Clean CCS EBITDA to €2.939 billion, a 62% increase from €1.815 billion in 2021, underscoring the downstream segment's sensitivity to market disruptions.[80] By 2024, amid normalizing margins, Clean CCS EBITDA stabilized at €1.852 billion, with upstream contributing €298 million (down from €493 million in 2023 due to reduced production volumes), downstream reflecting resilient integrated margins, and chemicals adding steady earnings from volume expansions in products like acetone.[81] This integrated structure provides resilience, as upstream supplies feed refineries, mitigating exposure to spot market swings compared to non-integrated peers.[82] Net debt stood at €2.369 billion at the end of 2024, maintaining a leverage ratio of 1.4 times last-twelve-months EBITDA, supported by disciplined cash flow management and bond issuances like the €750 million seven-year notes in 2024.[83] Capital expenditures totaled €1.293 billion in 2024, a 77% rise from €732 million in 2023, with allocations prioritizing returns on existing assets over aggressive expansion, including 43% directed toward sustainable initiatives like biofuels while sustaining core refining upgrades.[81] This approach emphasizes free cash flow generation for shareholder returns, evidenced by the company's focus on divesting low-return upstream assets to fund higher-yield downstream and green projects.[84]| Segment | 2022 Clean CCS EBITDA (€m) | 2023 Clean CCS EBITDA (€m) | 2024 Clean CCS EBITDA (€m) |
|---|---|---|---|
| Upstream | Not specified in available data | 493 | 298[81] |
| Downstream/Refining | Dominant contributor to total €2,939m | Major share of €1,402m total | Key driver of €1,852m total[81] |
| Chemicals | Contributed to overall growth | Steady performer | Increased sales volumes supporting total[38] |
| Total | 2,939 | 1,402 | 1,852 |