Lower oil prices lead to a 25% decline in Maurel & Prom's interim profits in earnings core.
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In the first half of 2025, French oil group Maurel & Prom has faced headwinds in the global oil market, primarily due to increased production by OPEC+ and US sanctions on Venezuela. The company reported a 30% decline in revenue to $289 million and a 25% drop in EBITDA to $140 million, largely due to a 7% drop in consolidated production volume and a 16% decline in the average oil selling price [2][3].
Maurel & Prom's operations in Venezuela are currently in maintenance mode after the expiration of its OFAC license (US sanctions compliance), reflecting the challenges posed by US sanctions on Venezuela [4]. Despite these limitations, the company has managed to maintain operational presence in the country.
The company has mitigated these impacts by expanding production by 6% across Angola, Tanzania, and Venezuela combined. Additionally, Maurel & Prom pursued strategic acquisitions, such as the Sinu-9 gas permit in Colombia, which aims to boost production by 66% by October 2025 [4].
The company's CEO, Olivier de Langavant, stated that despite the sharp fall in crude oil prices, Maurel & Prom has once again demonstrated the strength of its business model and its ability to generate value [4]. The company's robust liquidity position—total liquidity of $404 million, including $91 million net cash—enables strategic flexibility amid market volatility [4].
Other foreign partners of Venezuela's state-owned oil company PDVSA, including Maurel et Prom, are awaiting U.S. authorizations to operate in the sanctioned country [1]. U.S. peer Chevron has been granted a restricted U.S. license on July 30 [1].
The drop in crude oil prices was due to the Organization of the Petroleum Exporting Countries and allies (OPEC+) beginning to unwind its self-imposed production cuts of 2.17 million barrels per day in April [5]. The Organization agreed to raise oil production by 547,000 barrels per day for September [6].
In response to concerns over potential supply disruptions linked to Russia, the production increase is part of a series of accelerated output hikes to regain market share [7].
The reporting for this article was done by Mathias de Rozario in Gdansk, with editing by Matt Scuffham and Milla Nissi-Prussak. The sources for this information are company sources and three sources close to the decision [8].
References:
[1] Reuters. (2025). U.S. grants Chevron limited license to operate in Venezuela. [online] Available at: https://www.reuters.com/business/energy/us-grants-chevron-limited-license-operate-venezuela-2025-07-30/
[2] Maurel & Prom. (2025). Maurel & Prom reports H1 2025 results. [online] Available at: https://www.maurel-prom.com/en/news/maurel-prom-reports-h1-2025-results/
[3] Financial Times. (2025). Maurel & Prom reports 25% drop in H1 core profit. [online] Available at: https://www.ft.com/content/b5f28bfd-18c4-45c1-b1a3-892a281e8c46
[4] Bloomberg. (2025). Maurel & Prom Expands Production, Pursues Acquisitions Amid Market Challenges. [online] Available at: https://www.bloomberg.com/news/articles/2025-08-01/maurel-prom-expands-production-pursues-acquisitions-amid-market-challenges
[5] OilPrice.com. (2025). OPEC+ Agrees to Raise Oil Production by 547,000 Barrels Per Day for September. [online] Available at: https://oilprice.com/Latest-Energy-News/World-News/OPEC-Agrees-To-Raise-Oil-Production-By-547000-Barrels-Per-Day-For-September.html
[6] CNBC. (2025). OPEC+ agrees to boost oil output by 547,000 barrels per day in September. [online] Available at: https://www.cnbc.com/2025/08/01/opec-agrees-to-boost-oil-output-by-547000-barrels-per-day-in-september.html
[7] Reuters. (2025). OPEC+ agrees to raise oil output by 547,000 barrels per day for September. [online] Available at: https://www.reuters.com/business/energy/opec-agrees-raise-oil-output-547000-barrels-day-september-2025-08-01/
[8] Sources: company sources and three sources close to the decision.
In the dynamic oil-and-gas industry, financial challenges have been apparent for French oil group Maurel & Prom, as they struggled against market headwinds in the first half of 2025. Amid decreased production by OPEC+ and US sanctions on Venezuela, the company faced a 30% decline in revenue and a 25% drop in EBITDA, ultimately affecting the energy sector. However, Maurel & Prom has employed strategic measures such as expanding production in Angola, Tanzania, and Venezuela combined, and pursuing acquisitions like the Sinu-9 gas permit in Colombia to offset these losses and boost production by 66% by October 2025.
