(News Bulletin 247) – The Maurel & Prom share fell by more than 19% on Wednesday on the Paris Stock Exchange, in a market context made nervous by the appearance of political risk in Gabon, where the group generates 75% of its production .

Investors are pulling out of the oil company over its exposure to Gabon, where a group of officers say they ousted newly-elected President Ali Bongo from power.

A trader recalls that Maurel & Prom had recently become ‘the leading operator in Gabon following the takeover of Assala Energy’, an operation which the group considered a ‘major step’.

In Gabon, where Maurel & Prom has been present for more than 15 years, the company achieved some 75% of its production last year and it now has more than 70% of its reserves there.

The Gabonese subsidiary of Maurel & Prom remains the leading subsidiary in terms of workforce, with 294 employees at the end of 2022, i.e. 42% of its total workforce.

The company had also signed a memorandum of understanding with the Gabonese Republic in 2021 to guarantee the development of its assets in the medium and long term.

Beyond its producing assets, M&P is currently studying opportunities in the exploration or appraisal phase, as its exploration authorizations on the Kari and Nyanga Mayombe permits have been extended until 2029.

In its latest annual report, the group recalls that its Gabonese subsidiary has on-site security officers, emergency and safety plans

However, no spokesperson for the group was immediately available to answer questions from News Bulletin 247.

Around 11:30 am, the action of the oil company fell by more than 19%, signing one of the largest drops in the Paris market with Eramet (-20%), also very present in Gabon.

In Gabon, the national economy is 60% based on oil and gas sales, which reduces the risk of an impact on the sector according to analysts.

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