Malawi's major fuel retailer, Puma Energy, has ruled out retrenchment of some of its employees because of the current fuel shortages affecting the country.

Instead, the company has promised an expansion programme which will offer more employment on the market.

Puma Energy Malawi Managing Director Davies Lanjesi told journalists in Blantyre on Thursday that the company is expanding its services in the country with a capital of US$4 million already approved for investment.

"We are in this business for the long term. Despite reduced sales, we will not retrench any of our employees as we are managing a long term strategy," said Lanjesi.

He was speaking in the presence of Puma Energy's Swiss based executives who visited the country last week. Puma Energy belongs to Trafigula Group which last year acquired a 50 percent stake in BP Malawi.

"We will have new sites in 2012 which means Puma Energy will employ more people under this project and even afterwards. So, we will not retrench people," Lanjesi said.

Trafigula Group's Corporate Affairs Manager Mark Eadie said Puma Energy would make further investments in African markets where it is operating despite already spending over US$200 million since last year.