Online Reporter
Africa Moyo
Deputy National Editor
THE National Oil Infrastructure Company of Zimbabwe achieved record fuel throughput volumes last year, while posting a 22 percent increase in profit after tax, underscoring the strategic importance of the country’s fuel infrastructure in supporting economic growth and regional trade.
In his remarks at the company’s annual general meeting in Harare yesterday, NOIC board chairman Mr Innocent Chiganze said fuel throughput volumes reached an all-time high of 2,67 billion litres during the year, surpassing all previous records.
The strong performance was attributed to the completion of the Pipeline Capacity Upgrade Project as well as improvements in storage and operational efficiencies across the fuel supply chain.
Mr Chiganze said the record throughput volumes marked a major milestone for the business.
“The company achieved a record-breaking throughput volume of 2,67 billion litres during the year, marking a significant milestone and surpassing all previous years,” he said.
“The positive performance was largely attributed to completion of the PZL capacity upgrade in April, combined with additional petrol storage capacity at the Feruka Depot which was created by the conversion of tank 26 from diesel to petrol handling.”
Mr Chiganze said the conversion of the tank enhanced operational flexibility and improved product batching capabilities, while close collaboration among supply chain partners from Beira to Msasa further strengthened performance.
Financially, NOIC delivered stronger profitability despite lower revenues following the disposal of its fuel trading subsidiary and the deliberate reduction of lower-margin fuel trading activities.
Profit after tax rose to ZiG1,55 billion from ZiG1,27 billion in the previous year.
“The group delivered stronger profitability in 2025. The consolidated profit after tax grew by 22 percent to ZiG1,55 billion, up from ZiG1,27 billion in the prior year,” said Mr Chiganze.
“The improvement was driven by a strategic shift away from lower margin trading activities and enhanced operational efficiencies, which supported improved returns for the shareholder.”
Transit fuel volumes destined for regional markets also recorded significant growth as Zimbabwe continued positioning itself as a fuel distribution hub for Southern Africa.
Transit volumes increased to 528 million litres in 2025 from 353 million litres in the previous year.
That performance was in line with national objectives to transform Harare into a regional fuel distribution centre.
“Pursuant to the National Strategic Objective to establish Harare as the fuel distribution hub in the Southern African region by 2025, we facilitated the transportation of fuel for traders intending to supply the hinterland markets and other SADC countries,” said Mr Chiganze.
NOIC’s liquefied petroleum gas (LPG) business also delivered robust growth during the year, with sales volumes exceeding budget targets by 87 percent.
To strengthen distribution networks, the company commissioned new LPG redistribution facilities in Masvingo, Bulawayo, Kwekwe, Mutare, Ruwa and Gweru.
The company also completed Phase Two of the Ruwa LPG Project, adding 1 400 tonnes of storage capacity.
As of May 31 this year, construction works for Phase 2 had been completed and the depot is now fully functional.
Mr Chiganze said NOIC said it remains committed to supporting Zimbabwe’s development agenda through strategic investments in energy infrastructure.
“As NDS1 concludes and as we look to NDS2, the Board reaffirms NOIC’s commitment to the national vision,” he said.
“The foundations laid over the last five years in reliability, safety, and strategic capacity position us to play an even greater role in powering Zimbabwe’s next phase of development.”
The company’s positive momentum has continued into 2026.
For the five months ended May 31, revenue reached US$110,26 million, exceeding the budgeted US$107,07 million, while profit after tax stood at US$16,19 million, significantly above the budgeted US$9,64 million.
Looking ahead, NOIC expects further growth following the successful completion of the first phase of the pipeline capacity upgrade project, which increased annual pumping capacity to three billion litres.
Added Mr Chiganze: “Works are already underway to ramp up the pumping capacity to 5 billion litres per year through the second phase of the pipeline capacity upgrade earmarked for completion in December 2027.
“We expect to exceed the annual targets on fuel injections, profitability and fuel sales.”
The company also received an unqualified audit opinion from the Office of the Auditor-General, which confirmed that its financial statements fairly presented its financial position and performance in accordance with International Financial Reporting Standards.
