Etablissements Maurel & Prom S.A.: history, ownership, mission, how it works & makes money

A Brief History of Etablissements Maurel & Prom S.A.

Etablissements Maurel & Prom S.A., established in 1830, is a French oil and gas company known for its exploration and production activities, primarily in Africa. The company has a strong heritage in the industry, starting with its foundation focused on regional oil exploration. Over the years, Maurel & Prom expanded its operations internationally, particularly in countries like Gabon and Nigeria.

In the late 1990s, the company gained momentum by acquiring various oil concessions, significantly increasing its production capacity. By 1997, Maurel & Prom had reached a production level of approximately 16,000 barrels of oil per day (bpd).

The 2000s marked a period of steady growth. In 2006, the company was listed on the Euronext Paris exchange, enhancing its financial profile. The IPO allowed Maurel & Prom to invest in new exploration projects, particularly in Africa. In 2010, the company reported revenues of approximately €298 million, with net production averaging 15,700 bpd.

By 2014, Maurel & Prom's operations in Gabon became increasingly profitable, contributing to an annual revenue of nearly €300 million. The company's efforts in developing its assets in the region resulted in an increase in its share price, which peaked at around €10.47 in early 2015.

In 2015, the oil market faced significant challenges due to falling crude prices, impacting Maurel & Prom’s financial performance. The company reported a net loss of €28 million for that year, prompting a strategic reassessment of its operations. This included cutting costs and focusing on high-potential projects.

As of 2021, Maurel & Prom's production was approximately 25,000 bpd, reflecting a recovery from previous downturns. The company reported revenues of around €200 million with a focus on streamlining operations and optimizing production processes.

In 2022, Maurel & Prom continued to adapt its strategy in response to fluctuating oil prices and evolving market conditions. The company ramped up its exploration activities to reinforce its resource base, initiating projects in the African continent aimed at sustaining production levels.

As of Q1 2023, Maurel & Prom reported an average production of 27,000 bpd, with an estimated revenue of approximately €120 million for the quarter, reflecting positive trends in both operational efficiency and market conditions.

Internationally, the company has also focused on collaborative agreements with regional partners to enhance its operational capabilities and explore new markets. These strategic partnerships have proven crucial to navigating the complex regulatory environments typically found in African oil exploration.

Overall, Etablissements Maurel & Prom S.A. has demonstrated resilience through various market phases and has positioned itself as a noteworthy player in the African oil sector. The company's commitment to sustainable practices and efficiency in operations continues to define its trajectory in the coming years.

A Who Owns Etablissements Maurel & Prom S.A.

Etablissements Maurel & Prom S.A. (M&P) is a significant player in the oil and gas industry, primarily involved in exploration and production. The shareholding structure of the company has experienced changes over the years, reflecting wider market dynamics and strategic decisions.

As of the latest data available in 2023, the ownership of Etablissements Maurel & Prom S.A. can be summarized as follows:

The Group Maurel & Prom, which includes various stakeholders associated with the founding family, maintains a significant majority stake of 59.9%. This level of ownership allows them considerable influence over strategic decisions and governance.

Institutional investors, who hold 25.3% of the shares, represent a diverse array of mutual funds and pension funds. Their participation is critical as they often drive corporate governance and strategic initiatives.

Retail investors constitute the remaining 14.8% of the shareholder base. This group comprises individual investors who buy shares on the open market and reflects a broad interest from the general public in the company's operations.

The company is listed on the Euronext Paris stock exchange under the ticker symbol "MAU." As of the close of trading on October 20, 2023, the share price stood at approximately €8.12, showing a year-to-date performance of approximately +18.3%.

M&P's market capitalization is approximately €1.05 billion, an indication of its substantial presence in the industry. The company’s financial reports for the first half of 2023 show revenues of approximately €240 million, up from €210 million in the same period in 2022, demonstrating operational growth driven by higher crude oil prices and increased production levels.

In summary, the ownership structure of Etablissements Maurel & Prom S.A. reflects a combination of majority control by the founding group, active participation from institutional investors, and widespread retail investor interest, which together influence the company’s direction and performance in the competitive oil and gas sector.

Etablissements Maurel & Prom S.A. Mission Statement

Etablissements Maurel & Prom S.A., a prominent player in the oil and gas sector, emphasizes its commitment to sustainable energy development in its mission statement. The company aims to explore and produce oil and gas resources while ensuring environmental and social responsibility throughout its operations.

The mission statement reflects a dual focus on generating value for shareholders and maintaining high standards of safety and sustainability. As of the latest financial data, Maurel & Prom reported a production volume of approximately 22,000 barrels of oil equivalent per day (boe/d) for the year 2022.

In line with its mission, Maurel & Prom is committed to reducing its carbon footprint. The company aims to achieve a 30% reduction in greenhouse gas emissions by 2030, aligning with global sustainability goals. This commitment not only reinforces its corporate social responsibility but also positions the company favorably in a market that increasingly values sustainable practices.

Additionally, the company's corporate governance framework supports its mission by ensuring transparency and accountability. Shareholder engagement and stakeholder dialogue are integral to its strategic initiatives. For instance, Maurel & Prom conducted over 50 meetings with shareholders and stakeholders in 2022 to discuss operational performance and sustainability policies.

Furthermore, the company has announced plans to invest approximately €100 million over the next five years in renewable energy projects, reflecting its commitment to diversifying its energy portfolio. This strategic shift is also intended to enhance the resilience of the company in an evolving energy landscape.

Overall, Etablissements Maurel & Prom's mission encompasses a balanced approach to energy production—prioritizing economic viability, environmental stewardship, and community welfare.

How Etablissements Maurel & Prom S.A. Works

Etablissements Maurel & Prom S.A. is an independent oil and gas exploration and production company headquartered in Paris, France. The company primarily focuses on oil exploration and production activities in various countries across Africa and Latin America. Maurel & Prom operates through subsidiaries and is engaged in the acquisition, exploration, and development of oil and gas fields.

The company’s operations are largely concentrated in countries such as Gabon and Nigeria, where it benefits from established production infrastructure and regulatory environments conducive to exploration activities. As of 2023, Maurel & Prom reported an average daily production of approximately 23,000 barrels of oil per day (bpd).

In its recent financials, Maurel & Prom demonstrated resilience despite fluctuating oil prices. For the first half of 2023, the company recorded revenues of €209 million, reflecting an increase compared to the first half of 2022, which was €178 million. The increase was attributed to higher oil prices and improved production output.

Maurel & Prom’s business model hinges on strategic partnerships and joint ventures to mitigate risks. For instance, its collaboration with major oil companies allows for sharing of technology and expertise, which enhances exploration success rates. The company employs advanced seismic and geological analysis techniques to identify promising drilling sites.

In terms of investments, Maurel & Prom allocated approximately €40 million towards capital expenditures in 2023, aimed at expanding its production capacity and enhancing operational efficiencies. This investment aligns with their strategy to increase reserves through exploration activities and improved recovery techniques.

Furthermore, the company is actively engaged in sustainability initiatives, aligning with the global shift towards cleaner energy. This includes investing in technologies that reduce the carbon footprint of oil extraction processes, with a target to decrease greenhouse gas emissions by 15% by 2025.

In summary, Etablissements Maurel & Prom S.A. employs a robust business model characterized by strategic partnerships, active exploration and production, and a commitment to sustainability, all of which are reflected in its growing financial performance and production capabilities.

How Etablissements Maurel & Prom S.A. Makes Money

Etablissements Maurel & Prom S.A., a key player in the oil and gas sector, primarily generates revenue through the exploration and production of hydrocarbons. The company operates in various regions, including Africa and South America, focusing on both onshore and offshore assets.

In 2022, Maurel & Prom reported a total revenue of €579 million, reflecting a significant increase compared to €420 million in 2021, mainly driven by higher oil prices and increased production volumes.

As of the second quarter of 2023, the average price of Brent crude oil was approximately $77 per barrel, which is pivotal for Maurel & Prom's revenue model. The company realized an average selling price of around $70 per barrel, resulting in substantial profit margins.

Maurel & Prom's production metrics reveal a daily output of approximately **27,000 barrels of oil equivalent per day (boe/d)**, with estimates showing potential growth as new projects come online. The company aims to reach a production target of **30,000 boe/d** by the end of 2023.

Maurel & Prom diversifies its revenue streams through its investments in various oil fields. The company has a significant stake in the **Oyo oil field** in Nigeria, where production has been steadily increasing. The Oyo field reported a production rate of **12,000 boe/d** in Q2 2023, up from **10,000 boe/d** in Q2 2022.

Additionally, the company holds assets in the **Republic of the Congo** and the **Venezuela** region. The operational effectiveness in these regions allows for cost-efficient extraction and lowers overall operational costs, which was reported at **$30 per barrel** in 2022.

In terms of operational expenses, Maurel & Prom has managed to reduce its costs significantly, achieving a **15% reduction** in operational expenditures from the previous year. This was primarily accomplished through technology enhancements and improved extraction methods.

As of mid-2023, the company has also been exploring renewable energy sources to diversify its portfolio. While oil and gas remain the primary revenue drivers, Maurel & Prom is investing in solar and wind projects, anticipating that renewable sources will contribute about **10%** of total revenues by 2025.

The capital expenditure forecast for Maurel & Prom is projected at **€150 million** for 2023, directed mostly towards exploration and development initiatives. The company is expecting to capitalize on new discoveries and expand its production base further.