TotalEnergies, the French energy giant, is reportedly preparing to leave the Ethiopian market. According to Africa Business+, the company has reached an agreement to sell its network of around 120 service stations in the country to OLA Energy, formerly known as OiLibya.
The financial terms of the deal have not been disclosed, and neither TotalEnergies nor OLA Energy has officially confirmed the transaction. If confirmed, the sale would mark the end of TotalEnergies’ 76-year presence in Ethiopia’s retail fuel sector. An email inquiry sent by Ethiopia Observer to Christophe Ferrand, TotalEnergies’ country director in Ethiopia, seeking confirmation of the reported deal had not received a response.
The Africa Business+ report did not specify the reasons behind the planned exit, and the fate of TotalEnergies’ 166 employees in Ethiopia remains unclear. The company has reportedly faced profitability challenges in the country for several years, with industry observers citing regulated fuel prices, foreign exchange shortages, rising operating costs, and difficulties in repatriating earnings as factors that may have constrained its financial performance.
It remains unclear whether the conflicts in the Amhara, Tigray, and parts of the Oromia regions influenced TotalEnergies’ reported decision to leave Ethiopia. However, sources familiar with the matter told Ethiopia Observer that the country’s economic challenges and the company’s inability to generate sufficient profits may have been among the factors behind the decision.
Most of TotalEnergies’ service stations in Ethiopia are concentrated in Addis Ababa and the central parts of the country. Some of its most prominent locations, including stations in Piassa and Kazanchis, were affected by the Addis Ababa corridor development project and were subsequently demolished. The company was reportedly provided with replacement sites for at least some of these strategic locations.
TotalEnergies’ main competitors in the Ethiopian fuel market are OLA Energy and National Oil Ethiopia (NOC), a company owned by the businessman Mohammed Al Amoudi.
In recent years, TotalEnergies has been cutting back its fuel retail business across several African countries. It left Mali in January 2025, Burkina Faso in February 2025, and the Central African Republic later in 2025. In Côte d’Ivoire, it also sold its 27.33% stake in the Société Ivoirienne de Raffinage to Sahara Energy, a Nigerian company, the report said. Some of these countries have seen growing Russian influence and rising diplomatic tensions with France, where TotalEnergies is based.
Africa remains a historic pillar for the French group, with operations in more than 40 countries. In 2025, the continent accounted for 17% of the group’s global hydrocarbon production. It also represented 13% of global refined product sales. Africa therefore remained the group’s second-largest geographic region, behind Europe.
