Total Share Discussion Threads

[maywillow] 13/10/2020 08:26

Total (Paris:FP) (LSE:TTA) (NYSE:TOT) and Google Cloud have pooled their expertise to jointly develop an innovative tool, Solar Mapper, which aims to accelerate the deployment of solar panels for individuals (B2C) by providing an accurate and rapid estimate of the solar energy potential of their homes, first in Europe and then worldwide.



Solar Mapper uses brand-new artificial intelligence algorithms that provide better results than current tools, especially by improving:

-- the quality of the data extracted from satellite images;

-- the sharpness of the estimation of the solar potential;

-- the relevance of the technology to be installed;

-- the global geographical coverage of the tool.


In the case of France, Solar Mapper provides more than 90% geographical coverage, allowing many more people to assess the solar potential of their homes, with greater accuracy than before.



" Solar Mapper will enable Total to faster deploy solar panels on the houses' roofs, in order to provide its customers with more affordable and more accessible solar energy," explains Marie-Noëlle Séméria, Total's Chief Technology Officer. " By combining Total's expertise in solar energy with Google Cloud's expertise in artificial intelligence and databases, we were able to develop an attractive and innovative offer together in just 6 months."



In addition, Total plans to develop a B2B application of Solar Mapper, dedicated to industrial and commercial buildings and installations.



Solar Mapper is contributing to the Group's ambition to become a world leader in the production of renewable energies, toward getting to net-zero emissions by 2050 together with society.



About Total Research & Development



Total is deploying an ambitious R&D programme, worth nearly $1 billion a year. Total R&D relies on a network of more than 4,300 employees in 18 research centres around the world, as well as on numerous partnerships with universities, start-ups and industrial companies. Its investments are mainly devoted to a low-carbon energy mix (40%) as well as to digital, safety and the environment, operational efficiency and new products. It files more than 200 patents every year.



About Total



Total is a broad energy company that produces and markets fuels, natural gas and electricity. Our 100,000 employees are committed to better energy that is safer, more affordable, cleaner and accessible to as many people as possible. Active in more than 130 countries, our ambition is to become the responsible energy major.



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[waldron] 12/10/2020 19:17

Uganda signs Total, Tanzania deals
Uganda has signed a host government agreement (HGA) with Total on the East Africa Crude Oil Pipeline (EACOP), followed by new declarations with Tanzania on the link.

by Ed Reed
14/09/2020, 7:50 am
Photo of Ed Reed
Uganda has struck an agreement with Total and made progress in talks with Tanzania, its partner in the East African Crude Oil Pipeline (EACOP).
Ugandan President Yoweri Museveni has visited his Tanzanian counterpart, John Magufuli

Uganda has signed a host government agreement (HGA) with Total on the East Africa Crude Oil Pipeline (EACOP), followed by new declarations with Tanzania on the link.

The HGA was signed on September 11. Ugandan Minister of Energy and Mineral Development Mary-Gorett Kitutu signed the deal with Total Exploration and Production’s president for Africa Nicolas Terraz. Ugandan President Yoweri Museveni oversaw the signing, as did Total’s CEO Patrick Pouyanné.

The HGA sets out the commercial framework for the Lake Albert development. Uganda described the signing as a significant step towards reaching a final investment decision (FID) by the end of the year.

“It has taken long, but it was a deliberate move, I can assure you Ugandans,” Museveni said. “We have been slow but steady and sure.”

The agreement between Total and Uganda also provides scope for Uganda National Oil Co. (UNOC) taking a stake in the upstream project.

Following the signature of the deal with the French parties, Museveni jumped on an aeroplane and visited his Tanzanian counterpart, John Magufuli, on September 13.

The two signed an agreement to begin building the 1,445 km EACOP, which will run from Hoima in Uganda to the Tanzanian port city of Tanga.

Museveni said the two governments would “expedite the harmonisation of pending issues”. The two sides agreed that remaining deals “be fast-tracked, including the Tanzanian HGA and we quickly carry out the implementation of EACOP project”.

Tanzania Petroleum Development Corp. (TPDC) said the two countries had agreed to harmonise their HGAs. This should allow them to have a common view on how the plan goes ahead.

The foundation stone for the link was laid in August 2017 but progress has stalled since. The cost of exporting a barrel of oil through the pipeline was set at $12.2 per barrel in 2017.

Magufuli expressed the hope that the pipeline would create employment, saying it might generate as many as 15,000 jobs. It will be the longest heated pipeline in the world.

Total is in the process of buying Tullow Oil’s stake in the Ugandan project. The Ugandan government approved the transfer of operatorship to the French company on August 6.

The government and the Uganda Revenue Authority (URA) have yet to enter a binding tax agreement on the transaction. Tullow said in its half-year results that progress was being made. The company expects to complete the sale by the end of 2020.

[waldron] 09/10/2020 17:41

Brent Crude Oil NYMEX 43.53 +0.44%
Gasoline NYMEX 1.20 -0.42%
Natural Gas NYMEX 3.23 +2.80%
WTI 41.25 USD +0.17%


FTSE 100
6,016.65 +0.65%
Dow Jones
28,649.61 +0.79%
CAC 40
4,946.81 +0.71%
SBF 120
3,930.73 +0.61%
Euro STOXX 50
3,273.12 +0.37%
DAX
13,051.23 +0.07%
Ftse Mib
19,582.76 +0.00%




Eni
6.862 -0.33%


Total
29.95 +1.54%



Engie
12.14 +0.08%

Orange
9.436 +2.88%


Bp
222.1 +0.57%

Vodafone
111.16 -0.05%

Royal Dutch Shell A
1,016.4 +2.09%



Royal Dutch Shell B
978.9 +2.06%

TULLOW(TLW)
18.65 GBX +2.78%

[waldron] 09/10/2020 10:01

Total Adds Fuel-Cell Truck Maker to Alternative Energy Bets

Ed Ludlow, Bloomberg News

(Bloomberg) -- Total SE is making an investment as part of a small funding round in U.S. fuel-cell truck startup Hyzon Motors, an effort by the French oil giant to boost development of cleaner energy sources.

The strategic investment was made by the company’s venture-capital arm, Total Carbon Neutrality Ventures, and included other investors such as Ascent Hydrogen Fund, Hydrogen Capital Partners and Audacy Ventures Ltd. The size of the round was not disclosed but totaled more than $15 million and valued Hyzon at around $200 million, according to people familiar with the matter. It could rise to $20 million, said the people, who asked not to be named discussing private information.

The funding follows other recent alternative-energy investments made by Total, including production of electric-vehicle batteries and biofuels. It and other European oil companies are ramping up their exposure to renewable energy as governments, consumers and investors demand swifter moves to tackle climate change.

“We are pleased to partner with Hyzon, one of the leading suppliers of hydrogen-fuel-cell-powered commercial vehicles and look forward to working closely with them as they expand their operations around the world,” Girish Nadkarni, Total Carbon Neutrality Ventures’ chief executive officer, said in a statement.

Former GM Plant

Earlier this year, Hyzon was spun out of Singapore-based Horizon Fuel Cell Technologies Pte Ltd., which has been developing fuel-cell technology for commercial applications for more than 17 years. The startup makes hydrogen-powered big rigs, buses and coaches.

It plans to use the new funding to support engineering and manufacturing of fuel cells at its headquarters, a former General Motors Co. facility in Honeoye Falls, New York. In July, Hyzon announced plans for a plant in the Netherlands as part of a joint venture with Holthausen Clean Technology BV. It also has unspecified manufacturing activities with an undisclosed partner in Shanghai, China.

Hydrogen-powered commercial-vehicle technology has been in the spotlight since Nikola Corp. gained a public listing through a reverse merger in June without having sold a single vehicle. Last month, GM took a $2 billion stake in Nikola, agreeing to build its pickup truck and provide fuel-cell technology for its big rigs. Nikola has also held talks with energy giant BP Plc over a network of hydrogen fueling stations, crucial for making hydrogen-powered big rigs mainstream.

Toyota Motor Corp., Hyundai Motor Co. and other global automakers also aim to bring hydrogen-powered semi trucks to market.

Hyzon says it already has around 400 commercial vehicles on the road using its own fuel-cell technology. It expects to deliver about 5,000 fuel-cell-powered trucks and buses in the next three years, targeting an annual capacity of 40,000 vehicles by 2025. In August, Hyzon penned a deal with Australian mining company Fortescue Metals Group Ltd. to build a fleet of hydrogen-fuel-cell buses.

“Unlike some of its startup competitors, Hyzon has strong backing,” said Asad Hussain, an analyst at researcher Pitchbook. “In our view, Hyzon represents an example of fuel-cell electric vehicles gaining traction in the freight sector.”

[maywillow] 08/10/2020 10:18

(Boursier.com) - Saft has developed a new online tool, Smart Battery Selector, which allows developers to choose the best battery to power their Internet of Things (IoT) application. Developers can use this tool from the very early stages of the project. It follows a 7-step process to recommend primary lithium batteries that meet their performance, reliability, lifetime and cost objectives.

"The choice of the optimal battery is absolutely decisive for the success of any IoT project. However, our discussions with developers have revealed that this step is sometimes considered later in projects. Developers may then end up with a battery solution to integrate in a limited space, and thus risk not fully meeting the expectations of the end user," explains Cécile Joannin, IoT Market Marketing Manager at Saft. "Our Smart Selector is designed to eliminate this risk right from the start of the project".

Translated with www.DeepL.com/Translator (free version)

[ariane] 07/10/2020 12:58

Other companies worth keeping an eye on as oil prices bounce back:

Total (NYSE:TOT) is one of the few oil majors truly diving head first into the new energy reality It is not only aware of the needs that are not being met by a significant portion of the world’s growing population, it is also hyper-aware of the looming climate crisis if changes are not made. In its push to create a better world for all, it has committed to contributing to each of the United Nations’ Sustainable Development Goals. From workplace safety and diversity to societal progression and reducing its carbon footprint, Total is checking all of the boxes that the next generation of investors hold close to their hearts. And that should pay off for the giant.

While Total’s share price slipped in March along with the wider market, Total’s pivot towards sustainability has helped it outperform some of its peers. Though it still maintains a major presence in the global oil and gas industry, it has made significant strides in the renewable realm, as well.

BP (NYSE:BP) is another European energy giant slowly pivoting towards greener energy alternatives. BP, which has been criticized in the past as being slow and late to the environmental cause, could now leapfrog its peers. We are still a long way from Beyond Petroleum. But chief executive Bernard Looney believes that we are only 30 years from a net zero BP. He has promised that in September the company will lay out a more detailed plan that shows the path to that destination. But he has shown already that there is more to his commitment to net-zero than there was to Beyond Petroleum 20 years ago.

“Renewables and natural gas together account for the great majority of the growth in primary energy. In our evolving transition scenario, 85% of new energy is lower carbon,” Spencer Dale, BP group chief economist, said, commenting on the outlook to 2040.

[ariane] 07/10/2020 11:35

Regulatory News:



Total (Paris:FP) (LSE:TTA) (NYSE:TOT):



A group of the world's largest energy, agriculture, mining, and commodity trading companies will for the first time assess and disclose the climate alignment of their shipping activities. United Nations agencies estimate the international shipping industry to carry around 80% of world trade flows and to be responsible for 2-3% of global greenhouse gas emissions annually.



Large industrial corporations are significant users of international shipping services. The shipping of crude oil, coal, iron ore, grain and other bulk commodities used worldwide make up over 80% of global seaborne trade. The Sea Cargo Charter is a global framework that allows for the integration of climate considerations into chartering decisions to favor climate-aligned maritime transport.



The Sea Cargo Charter establishes a common baseline to quantitatively assess and disclose whether shipping activities are aligned with adopted climate goals. The Sea Cargo Charter is consistent with the policies and ambitions adopted by member states of the International Maritime Organization (IMO), a specialized agency of the United Nations responsible for regulating shipping. This includes its ambition for greenhouse gas emissions from international shipping to peak as soon as possible and to reduce shipping's total annual greenhouse gas emissions by at least 50% of 2008 levels by 2050, with a strong emphasis on zero emissions.



"Total shares the ambition to get to net-zero emissions by 2050, together with society, for its global operations. As a broad energy company, we are actively working on improving the environmental footprint of the maritime industry. By becoming today a founding member of the Sea Cargo Charter, we reaffirm our support to this key sector. This pioneering initiative will provide a transparent standard emissions reporting approach and will pave the way for a sustainable shipping industry." underlines Luc Gillet, Senior Vice President Shipping, Total Trading & Shipping.



"A standard greenhouse gas emissions reporting process will simplify some of the complexities often associated with reporting. It will encourage a more transparent and consistent approach to tracking emissions, which will be a critical part of making shipping more sustainable," says Jan Dieleman Chair of the Sea Cargo Charter drafting group.



The 17 Founding Signatories of the Sea Cargo Charter include Anglo American, ADM, Bunge, Cargill Ocean Transportation, COFCO International, Dow, Equinor, Gunvor Group, Klaveness Combination Carriers, Louis Dreyfus Company, Norden, Occidental, Shell, Torvald Klaveness, Total, Trafigura, and Ørsted. All other responsible shippers are invited to join the initiative.



"The Sea Cargo Charter enables leaders from diverse industry sectors to use their influence to drive change and promote shipping's green transition by choosing maritime transport that is aligned with agreed climate targets over that which is not," says Johannah Christensen, Managing Director, Head of Projects & Programmes at international non-profit, Global Maritime Forum.



The Sea Cargo Charter is intended to evolve over time as the IMO adjusts its policies and regulations and when further adverse environmental and social impacts are identified for inclusion. They also aim to support other initiatives developed to address climate, environment, and social risks in shipping, such as the Poseidon Principles.



The Sea Cargo Charter is applicable to bulk charterers with interest in the cargo on board; those who simply charter out the vessels they charter in; as well as the disponent owners and all charterers in a charterparty chain. They apply globally, to all chartering activities where a vessel or vessels fall under the purview of the IMO.



The development of the Sea Cargo Charter has been led by global shippers -- Anglo American, Cargill Ocean Transportation, Dow, Norden, Total, Trafigura -- and leading industry players -- Euronav, Gorrissen Federspiel, Stena Bulk -- with expert support provided by the Global Maritime Forum, Smart Freight Centre, University College London Energy Institute/UMAS, and Stephenson Harwood.



About Total



Total is a broad energy company that produces and markets fuels, natural gas and electricity. Our 100,000 employees are committed to better energy that is more affordable, more reliable, cleaner and accessible to as many people as possible. Active in more than 130 countries, our ambition is to become the responsible energy major.



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[ariane] 07/10/2020 07:50

Press Release



Total (Paris:FP) (LSE:TTA) (NYSE:TOT) becomes a 20% shareholder in the Eolmed floating wind farm pilot project, located in the Mediterranean, off the coast of Gruissan and near Port-La-Nouvelle (Occitan region).



Attributed in July 2016, this 30 megawatts (MW) project will accelerate the development of a floating wind technology. Together with Qair, the historical developer and majority shareholder of the project, and its local partners, Total brings its experience in the conception, deployment and exploitation of offshore installations throughout their life cycle.



Total is thus continuing to reinforce its position in the emerging sector of floating offshore wind, in which it wants to be one of the world leaders. Today, the Group is present in South Korea with a portfolio of 2 gigawatts and in the United Kingdom with the 100 MW Erebus project, which has just been granted exclusive development rights for its area.



Julien Pouget, Director Renewables of Total, stated: "This announcement once again demonstrates the Group's ambition and willingness to innovate in the field of renewable energies. Floating offshore wind is a very promising segment in which Total notably brings its extensive experience in offshore projects. Together with our partner Qair, we have the necessary resources to meet the technological and financial challenges that will determine our future success. I am delighted that Total can contribute to the emergence of this new sector in France. "



"The Eolmed project is at the heart of the Occitanie Region's strategy for the development of renewable energies, actively supported by local partners. It also demonstrates Qair's ambition to become a major player in floating offshore wind energy in Europe. By joining forces with a renowned French industrial partner for this innovative project developed by our teams since 2016, Qair is strengthening its technical expertise for the realisation of the Eolmed project and for future floating wind projects." adds Louis Blanchard, CEO of Qair.



Total, renewables and electricity



As part of its ambition to get to net zero by 2050,Total is building a portfolio of activities in electricity, renewable in particular, that could account for up to 40% of its sales by 2050. By the end of 2020, Total's gross power generation capacity worldwide will be around 12 gigawatts, including about 7 gigawatts of renewable energy. With the objective of reaching 35 GW of production capacity from renewable sources by 2025, Total will continue to expand its business to become one of the world leaders in renewable energies.



About Total



Total is a broad energy company that produces and markets fuels, natural gas and electricity. Our 100,000 employees are committed to better energy that is more affordable, more reliable, cleaner and accessible to as many people as possible. Active in more than 130 countries, our ambition is to become the responsible energy major.

[grupo] 06/10/2020 10:00

Tullow under debt pressure

The independent UG

September 24, 2020

Oil and gas explorer says ‘potential liquidity shortfall’ threatens ability to pass lenders’ test

| THE INDEPENDENT UGANDA

| Tullow Oil plc has warned it risks defaulting on a debt facility if it does not resolve a potential liquidity shortfall, as it slumped to a $1.4 billion pre-tax loss for the first half of the year.

The London-listed Africa-focused explorer said on Sept.9 that a “potential liquidity shortfall” threatened its ability to satisfy requirements at a “redetermination” next January of its reserves-based lending (RBL) facility.

Tullow’s lenders will revalue the collateral used in calculating the amount of money they loan to the company, based on the value of its collateral. They will determine if there are any significant changes to the underlying worth of the items in question.


Tullow delivered the warning as its half-year results showed it had fallen into the red for the six months to June 30, compared with a $268 million pre-tax profit during the same period last year.

Its net debt pile also increased to $3 billion from $2.9 billion at the same point last year, while free cash flow was negative, which the company blamed on factors such as redundancy costs, tax and necessary capital expenditure.

Revenues were 16% lower year-on-year at $731 million as production fell and the group realised lower oil prices for its output.

But the biggest hit to the results came from a $941 million reduction in the book value of Tullow’s assets in Uganda — due to be sold to France’s Total — and in Kenya; plus $418 million of impairments reflecting lower long-term oil price assumptions.

Tullow Oil plc (Tullow) announced in April that it has agreed the sale of its assets in Uganda to Total E&P for $575 million in cash plus post first oil contingent payments with an effective date of Jan.01, 2020.

It said under the transaction, which marked the first step in its portfolio management programme to raise in excess of $1 billion, principles on tax treatment of the transaction agreed with Uganda Revenue Authority (URA).

Tullow said it would use the proceeds to reduce its net debt, strengthen its balance sheet and move Tullow towards a more conservative capital structure.

“This deal is important for Tullow and forms the first step of our programme of portfolio management,” said Dorothy Thompson, then-Tullow executive chair, “It represents an excellent start towards our previously announced target of raising in excess of $1 billion to strengthen the balance sheet and secure a more conservative capital structure.”

That deal still awaits approval from the government of Uganda.

The company said it was exploring “various refinancing alternatives” but the news, revealed in its half-year results, pushed its shares down a fifth in early trading in London.

At the January redetermination of its RBL, Tullow must show sufficient funds for the following 18 months, a period that includes the falling due of $650 million of debt in April 2022.

The company warned that if it was unable to show it had sufficient funds for the 18 months to July 2022 or resolve the “forecast liquidity shortfall” within 90 days of failing the January test, “there will be an event of default under the RBL facility by the end of April 2021”.

It said actions under consideration to address the potential shortfall included refinancing the senior notes due in April 2022 or convertible bonds due in July next year.

Other options under review include seeking to “secure new liquidity from banks or capital markets investors”.

A number of smaller independent explorers have reported losses for the first half of the year after Brent crude prices slumped from almost $70 a barrel in January to below $20 in April as the coronavirus pandemic ravaged global energy demand.

But Tullow was already battling its own problems before the pandemic. Its shares plummeted 70% last December when it told investors it expected production to be almost a third lower than it had forecast at the outset of 2019.

Chief Executive Rahul Dhir, who joined the group in April from rival Africa-focused oil and gas group Delonex Energy, has ordered a “comprehensive review” of the company’s “portfolio, growth prospects and capital structure”, which he expects to lay out at a capital markets day “towards the end” of this year.

Dhir told the Financial Times on Sept.09 there was no “silver bullet” to solving Tullow’s difficulties but he stressed the company was also making progress in slashing its cost base and insisted the board had “conviction there is potential in the business” once its capital structure was addressed.

Before Dhir’s arrival, Tullow had already set out a plan to raise more than $1bn through disposals and by axing 35% of its workforce.

[grupo] 06/10/2020 08:58

Total roils Kenya oil plan in row over new licence

By Macharia Kamau | October 6th 2020 at 09:00:00 GMT +0300


The joint venture partners that Kenya is relying on to delivery petrodollars are reading from different scripts, which could further slow down the project.

The project has already experienced numerous delays, the latest being a three-month pause on the project occasioned by Covid-19 before the State stepped in with major concessions.

And there could be a further delay after French oil major Total protested to the Petroleum Ministry, which turned down a 15-month extension on the firm’s exploration licences on the Lokichar oil blocks.

The joint venture partners – Tullow, Africa Oil and Total – had applied for a 33-month extension on the exploration licence, which they argued would be ample time to get the oil fields ready for the commercial phase of the project.

While lengthy, the firms had argued, the extension would also enable them to recover time wasted during a number of stoppages when there was no work taking places, including the recent suspension of operations between May and August owing to restrictions that had been placed to contain the spread of Covid-19.

The companies invoked force majeure (unforeseeable circumstances that prevent someone from fulfilling a contract) clauses in May, which was lifted in August. It is against this backdrop that Total has protested the 15-month extension and instead demanded more time and reportedly threatened to withdraw from the project should the ministry fail to grant it its wishes.

According to an insider familiar with the development, Total protested the licence extension to the ministry without consulting its other partners - Tullow Oil and Africa Oil - raising concerns whether all is well within the partnership.

Ideally, the three companies are supposed to consult among themselves and present a united front not just to the government but also shareholders and the public.

The Petroleum Ministry said it had received a letter from Total Oil but clarified that the firm had not made any threats to ditch the Kenyan oil project.

Principal Secretary Andrew Kamau said despite the concerns raised by Total, the matter had been concluded since Tullow and Africa Oil had accepted the licence extension given by the government.

Tullow, as the operator of the block, communicates on behalf of the partners.

“They (Total) wrote and said they would have liked more time,” he said, adding that the ministry may not review the request as Total’s other partners had already accepted the 15-month extension and the terms. Such communication, the PS noted, should also come from the blocks’ operator, in this case, Tullow, after the joint venture partners have discussed and agreed, hence more grounds why the government may not consider the request by Total for more time.

“It is not true (that they threatened to withdraw from the project) … they have even said that they had been misconstrued. They are not leaving,” said Kamau.

Total owns a 25 per cent stake in the oil blocks, while Tullow Oil, which doubles up as the operator, has 50 per cent and Africa Oil 25 per cent.

The French firm has always seemed to be pulling in the opposite direction when it comes to the Kenyan oil project.

It has been among the stakeholders that pushed Uganda hard to construct the export pipeline through Tanzania.

This is as opposed to the initial plans of developing a pipeline jointly with Kenya, which would have come from Western Uganda, traversed the country and linked up with the planned crude oil pipeline in Lamu.

In mid-September this year, Tanzania and Uganda signed an agreement for the construction of a Sh378 billion East African Crude Oil Pipeline from Hoima in western Uganda to the port of Tanga.

Total, which is the operator of the Uganda project, has in the past, however, expressed its support for the Lokcihar-Lamu pipeline. In 2018 after a State House visit by the company’s senior officials, it committed to playing part in building the pipeline.

When the firm joined the Turkana oil project after buying out Maersk, it was expected that its presence would be a shot in the arm for the project.

Being one the global oil majors, the company was expected to lend its vast knowledge in oil as well as financial muscle to the project.

In the year to December 2019, Total paid the government Sh43.2 million in licence and infrastructure development fees. Of this, the Energy Ministry got Sh38 million in licence fees, while another Sh5.5 million was paid the National Oil Corporation (Nock) as fees for infrastructure development, according to the company’s annual report.

In the report, the firm is unclear as to how much was pumped into the development of the Lokichar oil fields.

Reached for comment, Total’s local office declined to comment on why it had opposed the 15-month extension on the licences as well as its investments in the Turkana blocks and its planned disposal of its 50 per cent stake in the project.

The joint venture partners will need to meet certain conditions between October 1 and December 31 this year for them to be allowed to carry on with activities between January 1 and December 31, 2021.

When it published its half-year results in September, Tullow noted that while the pandemic and the resulting stoppage of works had slowed down the project, it had tasked the joint venture partners to look into how best to progress.

[e-mail]

[grupo] 05/10/2020 17:23

10/05/2020 | 12:38pm BST

Oswald Clint from Bernstein retains his positive opinion on the stock with a Buy rating.

The target price is unchanged at EUR 44.

[grupo] 05/10/2020 15:47

Total: Going Green Creates Opportunity
Oct. 5, 2020 7:24 AM ET|
4 comments
|
Power Hedge

Summary

Total made two announcements this week that add to the company's green credentials.

Green companies are favored by some investors and this may create some buying pressure on the stock.

The company's oil business will decline while renewables and natural gas will make up a growing percentage of its revenue.

Renewables and natural gas both have much stronger forward growth potential than oil does.

The market still treats this as an oil company despite the company's clear shift away from oil.

Looking for a helping hand in the market? Members of Energy Profits in Dividends get exclusive ideas and guidance to navigate any climate. Get started today »

[maywillow] 05/10/2020 11:17

Don't Miss Total In The Sell-Off Of The Energy Sector

Oct. 5, 2020 5:22 AM ET|

Aristofanis Papadatos

Summary

The entire energy sector is going through a fierce sell-off due to the pandemic, in contrast to the rest of the market, which is hovering around its all-time highs.

Total is by far the most resilient oil major during downturns.

It exhibited superior results in the downturn of the energy sector between 2014 and 2016 and in 2019. Moreover, it is the only profitable oil major this year.

Total is likely to offer exceptional risk-adjusted returns off its current price.


Final thoughts

The entire energy sector has been beaten to the extreme due to the pandemic. As a result, Total has become grossly undervalued and hence those who purchase it now are likely to be highly rewarded in the long run, when the dust settles and the panic subsides. The other oil majors have plunged much more than Total and thus they may offer greater returns, particularly if the energy market enjoys a swift recovery. However, conservative investors should probably select Total for its resilience in the event of a prolonged downturn. In this way, they will be able to remain patient much more readily throughout the ongoing downturn.

[adrian j boris] 04/10/2020 08:52

There is disagreement as to how long it will take for oil to recover and whether it ever will. The lockdowns and other restrictions may have changed patterns of behaviour for the foreseeable future, although we will only know once we're on the other side of the pandemic. Energy companies, it would appear, are not waiting to find out.

Professor Paul Stevens, from the UK's Chatham House, spoke to CGTN about the situation.

[grupo] 03/10/2020 08:08

Ørsted divests business customer portfolio to Total Gas and Power

The move comes as the Danish energy giant works to shrink its downstream operations and focus on building, owning and operating renewable generation assets

00:00
Jonny Bairstow
More Articles
Friday 2 October 2020


Ørsted has agreed to divest its business-to-business (B2B) portfolio of natural gas and power customers to Total Gas and Power.

The move comes as the Danish energy giant works to shrink its downstream operations and focus on building, owning and operating renewable generation assets – it involves the move of around 3,800 natural gas customers and 2,200 power customers, making up a contracted volume of 28TWh.

Following the transaction, which is expected to close during winter 2020/21, Ørsted will maintain a number of strategic long-term partners and customers, to which it supplies risk management products.

Ashley Phillips, Managing Director of Ørsted Sales UK, said; “We’re pleased to have signed this agreement and that Ørsted has found a new home for our B2B natural gas and power customers in the UK. The divestment is in line with Ørsted’s strategic plan, refocusing on key activities for the group in the future.”

Dave Cranfield, General Manager of Total Gas & Power, added: “We are delighted to have signed this agreement with Ørsted. It demonstrates our commitment to UK energy customers and the British energy market.

“We believe that by continuing to develop our product range as well as offer excellent service, we are well placed to supply all customers – large and small – with their current and future energy needs.”

Energy Live News

[maywillow] 02/10/2020 18:54

Total Bets Its Future On Renewables And LNG
By Tsvetana Paraskova - Oct 01, 2020, 4:30 PM CDT

France’s oil and gas major Total is joining other European peers, aiming to reinvent itself into a broad energy company, and will be betting on profitably growing its liquefied natural gas (LNG) and renewable businesses.

Total plans to increase the energy it produces while decreasing its carbon footprint, the company said in its Strategy & Outlook this week. To reduce emissions and become a broad energy company, Total will grow its energy production by one third, with half the growth coming from LNG and half from electricity, mainly from renewables. The company will also scale up profitable investments in renewables and electricity from US$2 billion to US$3 billion per year, representing more than 20 percent of capital investments.

The French firm also confirmed its ambition, announced earlier this year, to get to net-zero by 2050.

Last week, Total’s chief executive Patrick Pouyanné told French newspaper Le Parisien that the firm aims to be among the world’s top five producers of renewable energy. The company’s operations mix today is 55 percent oil, 40 percent gas, and less than 5 percent electricity from renewables, Pouyanné said, noting that in 2050, Total’s operations will be divided into 20 percent oil, 40 percent gas, and 40 percent renewable energy.

European oil majors have pledged various commitments to become net-zero energy companies and significantly expand their renewable energy, hydrogen, or power market portfolios.

BP said in its new strategy in August that it would reduce its oil and gas production by 40 percent by 2030 through active portfolio management and would not enter exploration in new countries.

Equinor mandated its incoming chief executive Anders Opedal—who will replace retiring Eldar Sætre in November to accelerate Equinor’s transition from an oil company to a broad energy company.

Eni announced in June a “new business structure to be a leader in the energy transition,” creating an Energy Evolution division in the company to accelerate its plans to significantly boost renewable power generation and biofuels production.

Shell said this week it is reorganizing for a low-carbon future, which would mean up to 9,000 job cuts by the end of 2022.

By Tsvetana Paraskova for Oilprice.com

[waldron] 02/10/2020 17:16

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[the grumpy old men] 02/10/2020 11:46

xxnjr
2 Oct '20 - 11:37 - 15907 of 15908
0 1 0
Patrick P of Total is normally a Tour de Force on their investor days. He's always charming, fascinating and funny and this year was no exception. Ben at Shell is not bad either but our CFO could learn a thing or too from Patrick P's communication skills. If you have a spare 2 hrs have a listen to Patrick P's "Total Strategy and Outlook 2020 – September 30, 2020" analysts presentation + Q&A available from here



He makes a good case for investing in Total and a lot of his points also apply to Shell.

[florenceorbis] 02/10/2020 11:06

BUSINESSGREEN




Total sketches first stages of plan to become low-carbon power producer

Total has outlined plans to pivot towards renewable energy

Toby Hill
02 October 2020



The French oil major plans to boost annual investments in renewables and electricity by $1bn, although gas will remain a key source of revenue

Fossil fuel giant Total this week became the latest oil major to announce a major pivot towards clean energy, outlining plans to hike investments in renewable energy and electricity by 50 per cent as it works towards becoming one of the world's top five renewable power producers.

The French firm said it would grow annual investments in renewables and electricity from $2bn today to $3bn by 2030, as it responds to forecasts of diminishing long-term oil demand. It also announced a target to have 35GW of gross renewable energy production capacity by 2025, up from a previous target of 25GW, adding that 70 per cent of this total was already in the pipeline via projects currently under construction.


However, gas will remain a key source of revenue, the firm said, with total LNG sales expected to double over 2020-30. The new strategy was outlined in a webcast presentation on Wednesday, in which Chief Executive Patrick Pouyanne emphasised that "diversifying activities… increases resilience and offsets oil price volatility."

It follows Total's acquisition earlier this week of Source London, the UK capital's largest electric vehicle charging network.

Like other oil majors, Total has been heavily affected by the coronavirus pandemic, cutting its annual spending from $15bn to $12bn. The move follows similar announcements from other oil majors, with Shell planning to cut up to 9,000 jobs, and BP to cut 10,000.

Both Shell and BP have also responded to pressure to reduce their reliance on fossil fuels, outlining plans that go far beyond that sketched this week by Total. BP recently committed to cutting the oil and gas it produces by 40 per cent and increasing annual investment in low carbon technologies 10-fold by the end of the decade. Shell is aiming to cut the net carbon footprint of the energy products it sells to its customers by 65 per cent by 2050, and by 30 percent by 2035.