Mozambique: CMH pays dividend of almost 420 meticais per share

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Mozambique: CMH pays dividend of almost 420 meticais per share

5:16 CAT | 10 Oct 2025

File photo: Sasol

The Companhia Moçambicana de Hidrocarbonetos (CMH) will distribute dividends of 419.81 meticais (€5.66) per share for the 2025 financial year, the state-owned oil company announced.

According to information from the company consulted by Lusa on Thursday, the decision results from a resolution passed at the ordinary general meeting on 30 September and refers to the gross amount to be paid per share.

Lusa reported in September that CMH’s profits fell by 15% in the last financial year, to US$46.7 million (€39.4 million), with the state-owned oil company warning of a “sharp decline” in gas production.

“One of the major challenges we face will be our ability to respond to the situation of the sharp production decline in our Pande and Temane reservoirs in the coming years, in order to maintain current performance levels,” reads the message from the board of directors, led by Arsénio Mabote, included in the 2024/2025 report and accounts for the financial year ended in June.

“We also need to continue identifying new opportunities that add value to our business, relying on the collaboration of our shareholders, with whom we have been discussing the most appropriate strategies for our long-term continuity in the business,” the message adds.

CMH’s profits had already fallen by 15.5% in the financial year ending in June 2024, to US$54.7 million (€46.1 million), according to previous data from the state-owned oil company, and have now fallen again in 202-2025, a period also marked by a 9% drop in the company’s natural gas sales compared with the previous year.

The management attributes this decline in financial performance to “the fluctuation of oil prices on the international market, as well as operational problems in key units of the Temane processing plant” (in Inhambane province, southern Mozambique).

These factors limited “the production capacity of gas and its by-products, despite routine maintenance having been carried out”, the document states.

It adds that, in order “to ensure compliance with its contractual obligations”, CMH continued to implement projects “aimed at maintaining and optimising production capacity through maximising gas recovery” in some reservoirs and new wells.

“The past year was quite challenging, as production operations continued to be constrained by various endogenous and exogenous factors, in an environment influenced by the current international geopolitical situation, which affected the demand for natural gas, condensates and respective prices,” the management acknowledges in the report, while giving assurances that, during this period CMH, had maintained “sustainable growth”, and intended to focus on improving “management efficiency”.

“We hope to continue providing dividends to shareholders in the coming years,” it adds.

CMH carries out oil production operations and is controlled by the state-owned Empresa Nacional de Hidrocarbonetos (ENH), which holds 70% of its share capital and was appointed by the Mozambican government to conduct, together with the South African company Sasol Petroleum Temane (SPT), petroleum operations in the Pande and Temane production fields for a period of 30 years, under the Petroleum Production Agreement signed in October 2000.

CMH is also part of the Joint Operations Agreements signed with SPT in December 2002, covering the reservoirs of the Pande and Temane fields, as the company produces and sells only gas and operates in an integrated manner.

Mozambique has three approved development projects for the exploitation of natural gas reserves in the Rovuma Basin – ranked among the largest in the world – off the coast of Cabo Delgado, in addition to the one operated by Eni, the only one currently in production. The other projects are Mozambique LNG (Area 1), operated by TotalEnergies, with up to 43 million tonnes per annum (mtpa), and Rovuma LNG (Area 4), operated by ExxonMobil, with 18 mtpa, both still under development.

Source: Lusa