Presentation

Galp Energia is a Portuguese integrated energy company listed on the Euronext Lisbon exchange. The stock is one of the heavier weighted securities on the main index in the Portuguese PSI-20 with a market capitalization of EUR ~7.5bn (USD ~8.9bn). The company was formed in 1999 through the merger of Petrogal and Gás de Portugal. Galp operates within four main segments: exploration and production; refining and midstream; commercial; and Renewables and New Business. The largest segment at an EBITDA level is exploration and production where the strategy is to build a resilient and competitive upstream portfolio, as well as accelerate the de-risking of the portfolio.

Galp’s current upstream portfolio is targeting net production growth of ~10% in 2020e at a production cost below USD 3/boe, despite the market turbulence resulting from the Covid-19 pandemic. The current core areas for developing the exploration and production portfolio are the Brazilian pre-salt, the Mozambique Rovuma basin and Angola offshore. On the refining, midstream and commercial side, Galp is already a leading player in the Iberian region and the strategy is to reinforce the market share by leveraging its comprehensive fuel offering going forward. The company is also a recognized player in key African clusters.

Despite keeping oil and natural gas at the heart of the corporate strategy, Galp aims to simultaneously develop new solutions and explore business opportunities in low-carbon energy segments. In this regard, the company expects to allocate 5-15% of its capital with an aim to create synergies with existing activities whenever possible, diversify its assets and progressively reduce its carbon intensity.