The Cyprus Commission for the Protection of Competition (CPC) has approved, under strict conditions, the acquisition of ExxonMobil Cyprus by Petrolina, bringing to a close months of regulatory scrutiny over one of the largest fuel-sector deals in recent years.

In an announcement issued today, December 18, the CPC said it had unanimously cleared the transaction, subject to binding commitments aimed at safeguarding competition in the fuel market. The acquisition is being carried out through Petrolina’s subsidiary, Med Energywise Ltd.

>>Petrolina Acquires ExxonMobil Cyprus for €48.6 Million<<

The deal had been under full investigation since September, after the Commission concluded that the merger raised serious concerns about reduced competition across key petroleum markets, including fuel imports, wholesale and retail sales, as well as storage and distribution. Particular concern had been raised over local competition, especially in areas where Petrolina and ExxonMobil fuel stations operate in close proximity.

Following negotiations with the Commission, Petrolina submitted a package of remedies that the CPC said were sufficient to address those concerns.

Central to the approval is a requirement for Petrolina to divest, sell or shut down 21 fuel stations. The company will also be barred from reacquiring those stations for ten years, while further restrictions will apply to prevent Petrolina from opening or controlling another fuel station within a four-kilometre radius of divested sites for up to seven years.

The decision also includes measures aimed at preventing the abuse of market power at other levels of the fuel supply chain. Petrolina will be required to provide access to storage capacity at its Vasiliko facilities to third parties on market terms for at least two years, while internal safeguards will be introduced to prevent the sharing of sensitive commercial information across different parts of the business.

Additional commitments protect fuel station service providers, banning exclusivity clauses and ensuring existing service contracts are not abruptly terminated. Restrictions have also been imposed on exclusive lubricant supply arrangements for a ten-year period.

An independent monitor will be appointed to oversee compliance with the commitments.

The €48.6 million acquisition, signed in November 2024, involves ExxonMobil’s Cypriot subsidiary, which has operated in the local market since 1955 and manages a network of 68 Esso-branded service stations. Completion of the deal had been conditional on competition approval, which has now been granted under one of the most extensive remedy packages imposed by the CPC in recent years.