Galp’s industrial operations incorporate the refining, logistics and cogeneration activities.  

Galp continues to focus on maximising value creation in this segment, increasing the efficiency of its operations, and adapting its portfolio to future demand patterns and to the progressive decarbonisation of its operations.

All of Galp’s current industrial activities are located in Iberia. The Company owns the only refinery in operation in Portugal, located in Sines, and also operates maritime terminals and storage parks. Galp’s industrial activities in Sines are central to the local economy, employing over 500 people directly, and c.900 external employees.

The Sines refinery is one of the largest in Iberia, with a distillation capacity of approximately 226 kbpd. Capable of processing a varied array of crude grades, Sines’ refinery can run in different modes. The process starts in the atmospheric distillation unit, producing valuable products such as diesel. Its residue is then processed in vacuum distillation units, separating into other valuable output streams. According to their characteristics, these are fed to fluid catalytic cracking, hydrocracking or visbreaker units, maximising conversion and desired yields.

The conversion complexity and capacity, as well as the strategic advantage from its coastal location and the deep-water port infrastructure in Sines, both for the supply of crude oil and the export of products, make this refinery highly competitive and well positioned to thrive through the challenges the sector faces ahead.

Galp’s power activity is supported by the operation of a cogeneration unit in Portugal totalling 91 MW installed in the Sines refinery. This unit is highly efficient, as it combines heat and electricity generation, and it is a significant supplier of steam to the refinery operations.  

In 2022, a total of 630 GWh were produced from cogeneration activities, up 6% YoY on a comparable basis. 


Operational performance in 2022

In 2022, raw materials processed totalled 88.0 mboe, up 15% YoY, successfully ensuring the supply of oil products to Iberia despite the marked disruptions felt during the period. The flexibility of our system allowed for an integrated optimisation of the Group’s value, coping with the restrictions experienced, namely following the self-imposed cut of imports of oil products from Russia and the need to adjust natural gas consumptions.

Moreover, and to reduce the impact on energy costs from the surge in power and natural gas market prices, several initiatives were put in place. These included replacing some gas consumptions with naphtha, NG for LPG to makeup the fuel gas network and optimising the cogeneration cycle.

Crude oil accounted for 85% of raw materials processed, 84% of which corresponded to medium and heavy crudes. The crude processed was almost exclusively of sweet grades.

Galp’s refining margin was up YoY, from $3.3/boe to $11.6/boe, capturing the increase in international oil products’ cracks, namely on middle distillates, and despite the higher costs of energy and CO2 emissions.

Diesel and gasoline were the most relevant products in Galp's production mix, representing 36% and 19%, respectively. Fuel oil yield was also significant at 19%, with the entire production allocated to Very Low Sulphur Fuel Oil (VLSFO).

Galp continues to focus on improving the competitiveness of its Sines refinery, in an increasingly demanding regulatory environment and a challenging oil product market. 



Sines: from a grey refinery to a green energy hub

Galp announced its plan to transform its refining system, now fully concentrated in Sines.

Throughout 2022, considerable investments were made in order to improve the energy efficiency of the refinery, including the technological upgrade of heat exchangers in the crude unit and hydrocracker, the improvement of the waste heat recovery in the diesel desulfurisation units and the installation of a new and more efficient recovery boiler on the fluid catalytic cracking unit.

Additionally, Galp has advanced the maturity of its transformational projects, namely towards the production of advanced renewable fuels and green hydrogen.

The integration of these projects, together with the concentration of refining activities in Sines, will enable the reduction of c.50% of scope 1 and 2 emissions, by 2030, comparing to 2017 levels, from Industrial activities. 

1 Operations emissions’ reduction from industrial activities (scopes 1 & 2) vs 2017.

Digital transformation in operations

Galp is transforming its refining and logistics operations, in order to make processes more agile and data more accessible within the Company.  A series of initiatives introduced in 2021 took root throughout 2022 and improved decision making, contributing to cost reduction, safety control and opportunity capitalisation.

In 2022, Galp partnered with Porto Business School for a Data Literacy Programme, which saw many employees within the Industrial segment enhance their skill set in data tools. Other initiatives included an Advanced Scheduling tool for operations’ optimization, a Predictive Maintenance model for critical equipment in the refinery and the development of IoT networks for wireless sensorisation. 



Galp benefits from access to several maritime terminals in Portugal, namely in Sines and Leixões, and has several storage facilities in Iberia. The Company also holds interests in logistics companies in Portugal and has access to several pipelines in Iberia, totalling 4,300 km.

Galp's extensive logistics system is integrated with major logistics operations in Spain, enabling efficient delivery of products and high levels of flexibility in distribution and sales.

Regulated distribution infrastructure (GGND)

Galp, through its associated company, Galp Gás Natural Distribution (GGND), has a stake in nine natural gas distributors in Portugal.

Through GGND, Galp explores a distribution network of over 13,000 km. At the end of 2020, the regulated asset base was valued at approximately €1.1 bn.

In November 2020, Galp agreed to sell a 75.01% stake in GGND, where it held 77.5%, to Allianz Capital Partners.

Learn more about GGND here.


We hold a 65% stake in CLC, the Portuguese logistics company that owns the only multi-product pipeline in Portugal. The CLC pipeline is 147 km long and has the capacity to transport 4 mton of oil products sequentially.


Galp also holds a 75% interest in Companhia Logística de Combustíveis da Madeira, SA (CLCM), which operates the storage facility in Madeira, and a 60% stake in Sigás, the propane storage unit in Sines.