Total Share Discussion Threads

[waldron] 14/6/2016 19:16

Keith Williams
Keith Williams
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Summary

Total moves along the path towards a renewable energy future.

Still a strong commitment to fossil fuels, especially gas.

Total has a plan “Integrating climate into our strategy” which they say is consistent with a 2C global temperature rise.

Saft Intensium Max lithium battery offering which provide MW-level energy storage in a 20 ft container

While other oil companies, notably Exxon Mobil (NYSE:XOM) and Chevron (NYSE:CVX) fight with their shareholders about even examining the consequences of the Paris climate agreement, Total (NYSE:TOT), which is headquartered in Paris, is just getting on with the transition and this involves becoming a major part of the solar revolution.

Last month Total announced a $1.1 billion acquisition of battery maker Saft Groupe. This follows a major $1.7 billion stake in 2011 in SunPower (NASDAQ:SPWR) which, except for a disaster in 2012, has performed pretty well. SPWR is trading at roughly 50% of its 52 week high currently, which is a pretty good result compared with how the oil price has tracked since 2011.

Some commentators have suggested that Total's investment in solar PV and battery storage is cover for its fossil fuel focus on oil and gas going forward. I suggest that this is a pretty substantial diversion if that is what it is, and it positions Total well for exit from fossil fuels. The ambition is either timid (compared with its fossil fuel spend) or ambitious (it aims to be a top 3 solar PV company) depending on how you view it.

I don't believe that oil and gas will make up 50% of Total's primary energy mix in 2035 as they suggest; things are changing too fast. At least it has plans for another future.

Senior management as well as "walking the walk" with its renewable investments, is also "talking the talk", with a major strategy document "Integrating climate into our strategy" released in May. This is a significant document that anyone contemplating investment in oil and gas, or indeed reviewing their energy portfolio should have a look at. It is about as good as it gets for an oil and gas major, but this doesn't mean that it is (yet) consistent with a serious attempt to address climate change.

[grupo guitarlumber] 11/6/2016 18:35

1 Big Oil Company That's Making Climate Change a Priority
How is big oil going to make the transition to a cleaner energy future? One company is outlining its plans in a new report.

Gettyimages

Image source: Getty Images.

Big oil has never been a champion in the effort to reduce climate change. On the one hand, it's understandable why they wouldn't lead the charge. But big oil is starting to see climate change as a threat, at least on a regulatory front, which could reduce demand for oil and gas long-term. And that's changing the tone from denial of climate change to admission that there's a problem and different strategic reactions for their operations.

One company has taken a more advanced look at climate change and is already changing its business model as a result. Total (NYSE:TOT), the French oil giant that's the #4 oil & gas producer worldwide recently released a report called "Integrating Climate into our Strategy" and it's putting money where its mouth is when it comes to adapting to the reality of climate change in energy. Here's a look at how it could pay off for investors.
Total's view of low carbon investments

It's novel for an oil company to even have a climate strategy and Total has big goals beyond oil & gas, which will shape its future. The report says:

Our ambition is to have low-carbon businesses make up around 20% of Total's portfolio in 20 years.

There are a couple of ways the company can meet that goal in the context of its $143.3 billion in revenue. The first is through its majority ownership of solar company SunPower (NASDAQ:SPWR). The solar panel maker is expecting to generate $3.2 billion to $3.4 billion in revenue this year and is going to triple production in the next five years. But it's what SunPower is building that could have an even bigger impact on Total.
Gettyimages

Image source: Getty Images.

SunPower is a solar panel manufacturer, but it's also a solar power plant developer. The company has constructed solar projects around the world and now Total is starting to play a role in helping develop and own these projects. Last month, the two companies announced collaboration on two large projects in Chile and announced a Japan project earlier this year. But it's Africa and the Middle East where the largest opportunity may lie.

In past interviews, SunPower CEO Tom Werner has said that Total's relationship in the Middle East and Africa will help unlock those high potential markets. And Total has said that Africa is a strategic area of growth, so the two clearly have complimentary goals in that region as well.

There are other investments Total is making in carbon capture, use, and storage and even supporting carbon pricing worldwide. And these strategies are meant to reduce the emissions of its existing oil & gas business. So, there's really a two pronged strategy at Total.
A model for other oil giants?

Total may be acknowledging climate change and laying out its plans to de-risk its business over the next two decades, but that doesn't mean big oil companies like Chevron (NYSE:CVX) and ExxonMobil (NYSE:XOM) are making the same decisions. Both companies defeated climate resolutions proposed by environmentalists this year, although they've softened their stance on the subject and are starting to discuss ways to adapt to renewable energy. But it's clearly not going to be a big part of their business in the near future.

What should concern investors in big oil today is that long-term trends don't appear to be in their favor. After the Paris climate agreement, it's likely that public policy will become friendlier to renewable energy and less friendly to fossil fuels. And we're already seeing renewables out grow fossil fuels by a wide margin over the past decade. They'll need to develop a strategy for how they're going to adapt or they'll slowly be rendered obsolete.

Out of the big oil companies, Total seems to have the most comprehensive strategy for adapting to a cleaner energy future. Whether or not that pays off with higher returns than competitors will take time to tell.

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[grupo] 09/6/2016 18:07

Total aiming for increased production from $10b investments
0
By Editor on Jun 9, 2016 Upstream

Total Upstream Nigeria Limited in a report titled: Total Upstream companies in Nigeria at a glance has indicated that it is targeting improved crude production with $10 billion worth of investments in Nigeria’s oil and gas industry, The Nation reports.

The report said: “Egina Field located in OML 130 where Total and its partners such as Sapetro, Petrobras, and the Nigerian National Petroleum Corporation (NNPC) are undertaking an ultra-deep offshore venture, crude production is expected to reach a plateau of 200,000 barrels of oil equivalent per day (boepd). Akpo field in oil mining lease (OML) 130 is also where Total began its first deep offshore project in 2009. Its floating production vessel has a storage capacity of two million barrels of stabilised liquid hydrocarbon.”

The report also added that gas flaring has reduced by 75 per cent in Total owned oil field in OML 58 and 10 per cent in OML 102. The projects, which constitute the OML 58 include Ogbogu Flow Station (OFS); Field Logistics Base (FLB); Obite Treatment Centre (OTC); Obite, Ubeta, Rumuji (OUR) pipeline and the Northern Option Pipeline (NOPL).

[maywillow] 08/6/2016 19:23

Oil prices rise despite US stockpile data on China demand and Nigerian production problems
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Billy Bambrough is City A.M.'s deputy news editor.
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Spindletop Oil Well Centennial
Oil prices have been gushing for three days now (Source: Getty)

Oil prices have risen for a third consecutive day today, hitting eight month highs.

The rise is in spite of US data showing a surprise build in petrol stockpiles. On-going production problems in Nigeria, as well as a better outlook for demand in China spurred on the market.

Gasoline stocks added one million barrels. Analysts had pencilled in a fall.

Inventories of crude oil in the US however fell by more than analysts had expected dropping by 3.2m barrels, over forecasts of 2.7m, in the week to 3 June.

Read more: Oil just gained market share for the first time since 1999 - here's why

Brent crude climbed to $52.35, while West Texas Intermediate hit $51.13. The gains boosted the FTSE 100, which scored its fourth consecutive day of gains.

In China crude oil imports hit their highest in more than six years in May. In Nigeria the Niger Delta Avengers militant group attacked the county's Chevron oil well.

The oil price continues to climb despite US shale production still holding up far better than many had expected, and the former oil cartel Opec tearing itself apart over production disagreements.

Craig Erlam, senior market analyst at Oanda, said:

It would appear that the rebalancing of the oil markets is very much underway, the only questions now are how temporary these supply disruptions are and how high prices can go.

While I do think WTI could continue to grind higher for now, I do think it’s going to find significant resistance around $54.50-55. A move above this level would be quite bullish.

It will be interesting to see if the EIA crude inventory figures confirm yesterday’s API release, which could be the catalyst for further gains in oil later on today.

[grupo guitarlumber] 04/6/2016 08:55

Supreme Court of Yukon Agrees to Hear Argument on Concerned InterOil Shareholders' Request to Postpone InterOil Annual and Special Meeting Until After Vote on Oil Search/TOTAL Proposal

Jun 03, 2016, 21:19 ET from Petroleum Independent & Exploration, LLC

HOUSTON, June 3, 2016 /PRNewswire/ -- The founding shareholder, former chairman and Chief Executive Officer of InterOil Corporation ("InterOil" or the "Company") (NYSE: IOC), Phil Mulacek, and Petroleum Independent & Exploration, LLC (together, the "Concerned InterOil Shareholders"), announced today that the Supreme Court of Yukon has agreed to hear argument on an expedited basis on whether to postpone the annual and special meeting of InterOil shareholders, currently scheduled for June 14, 2016 (the "Meeting"), until InterOil shareholders have had an opportunity to consider and vote on the proposed bid by Oil Search Limited (ASX:OSH), supported by a back-in from TOTAL, S.A. ("TOTAL"), for all of the outstanding shares of InterOil (the "Oil Search Transaction").

According to Mr. Mulacek, on May 31, 2016, the Concerned InterOil Shareholders wrote to InterOil to request the Company to postpone the Meeting, but InterOil has not responded to the request or publicly announced that it has been made. "We commenced this action because we are very concerned that shareholders are being asked to vote on Board nominees at the Meeting without having the benefit of full disclosure regarding the details about the Oil Search Transaction," Mr. Mulacek said. "Because the Meeting will be held in just 11 days, we asked the court to make a special ruling to hear the matter sooner than normal. Although InterOil opposed our request, the court agreed to hear argument next Thursday, June 9, 2016, before the Meeting," Mr. Mulacek continued. If the court rules in Mr. Mulacek's favor, the Meeting may be postponed to a date after June 14, 2016.

Cautionary Statement Regarding Forward‐Looking Statements:

This press release contains forward‐looking statements. All statements contained in this filing that are not clearly historical in nature or that necessarily depend on future events are forward‐looking, and the words "anticipate," "believe," "expect," "estimate," "plan," and similar expressions are generally intended to identify forward‐looking statements. These statements are based on current expectations of the Concerned InterOil Shareholders and currently available information. They are not guarantees of future performance, involve certain risks and uncertainties that are difficult to predict, and are based upon assumptions as to future events that may not prove to be accurate. The Concerned InterOil Shareholders do not assume any obligation to update any forward‐looking statements contained in this press release.

Information Contact:

For additional information on this press release please contact the Concerned InterOil Shareholders at [phone], or by email at [e-mail]

Shareholder Contact:

For assistance in voting your proxy, please contact Evolution Proxy Inc., at 1-844-226-3222 toll-free in North America, or at 416-855-0238 outside of North America (collect calls accepted), or by e-mail at [e-mail]

Media Contact:

Bayfield Strategy, Inc.
Riyaz Lalani
[phone]
[e-mail]



SOURCE Petroleum Independent & Exploration, LLC

[maywillow] 25/5/2016 20:11

Total Jumps On Renewables Bandwagon, Announces Ambitious Goals
Total Renewables

Total announced, in a strategy paper on Tuesday, that it aims to have renewable energy make up 20 percent of its portfolio by 2035.

The company said its La Mede refinery in France will be transformed into a “world-class” bio-refinery by 2017.

It will also strategically decide which areas to drill for oil and natural gas by reducing its exposure to tar sands and letting the Arctic ice pack be.

“The 2C scenario [of the International Energy Agency] highlights that a part of the world’s fossil fuel resources cannot be developed,” the company’s report said in reference to the plan that would limit the global temperature increase to two degrees on the Centigrade scale.

"Total’s growth strategy takes [the 2C scenario] into account,” the document read.

Related: Mozambique’s LNG Dreams Falling Apart

The report’s foreword, written by chief executive Patrick Pouyanne, stressed the importance of the Paris agreement in shaping the French company’s future.

“COP21 was definitely a watershed,” Pouyanne said. “Despite the current instability worldwide, 195 countries managed to unite around an ambitious climate agreement. That sends a strong message.”

Total has demonstrated a commitment to clean energy in the past: It spent more than US$1 billion to buy the battery manufacturer Saft, and bought a majority stake in SunPower, a solar energy company.

Related: BP Faces Setback In World’s Largest Unexplored Oil Basin

Other major oil companies have also jumped on the renewable energy bandwagon.

Shell recently announced a $1.7 billion project to create a renewable energy division, and ExxonMobil - a longtime denier of the effects of human activity on climate change - said it would investigate fuel cell technology to recapture carbon from the atmosphere.

ExxonMobil and Chevron will host their Annual General Meetings on Wednesday, but their executives have reportedly opposed moves by shareholders to add climate change experts to their boards or assess the business implications of a 2C scenario.

By Zainab Calcuttawala for Oilprice.com

[maywillow] 24/5/2016 21:37

Refinery Crisis Has French Oil Major Rethinking Investment Strategy
Total refining

French Total SA (NYSE: TOT) says it would reconsider its investment plans in France, according to CEO Patrick Pouyanne.

Patrick Pouyanne, speaking outside the annual shareholders meeting in France, said it would “seriously reconsider” its French investments in the wake of the union-led labor protests that have forced Total to shut down several refineries.

This, after Pouyanne’s May 18 statement that it was interested in French shale production. “I am ready to finance exploration because I think the debate has started on uncertain grounds. If I’m allowed to do so, it would be either to recognize a lack of potential so we can stop fighting for nothing; or on the contrary, if we find the right amount of resources the country will decide what to do with it,” Pouyanne said during a hearing of the economic commission of the French.

Related: Key Pipeline Could Unleash Alberta’s Oil Sands

French police liberated a critical fuel depot that was under blockade from union protestors this morning, in an effort to remedy fuel shortages across the country after nearly 12 percent of France’s gas stations had either run out of gas or were on the verge of running out. One police officer was injured during the police action, and the police responded by firing teargas.

Workers at six French oil refineries are still on strike, and four more fuel depots are still being affected by protestors.

French Prime Minister Manuel Valls has opined that the country is being held hostage by protesters through its refineries, and that this will not be allowed to continue, indicating that security forces will be used to break the strikes—a statement which was backed up during this morning’s police action.

By Julianne Geiger for Oilprice.com

[sarkasm] 24/5/2016 16:53

Total rules out Arctic oil drilling, citing 2C goal
Published on 24/05/2016, 1:18pm

French oil major to cut back on expensive tar sands development and avoid the Arctic, raising the bar for industry action on climate change
Shell's ill-fated Polar Pioneer rig was destined for the Arctic (Pic: Shell/Flickr)

Shell's ill-fated Polar Pioneer rig was destined for the Arctic (Pic: Shell/Flickr)

By Megan Darby

Total is slashing expensive oil ventures in line with international efforts to hold global warming below 2C.

The French oil major is reducing its exposure to tar sands and avoiding the Arctic ice pack. When deciding where to drill, it assumes a carbon price of US$30-40 a tonne.

That was revealed in a strategy paper published to coincide with Tuesday’s AGM, in the clearest industry acknowledgment to date of the risks of unfettered exploration.

“The 2C scenario highlights that a part of the world’s fossil fuel resources cannot be developed. Total’s growth strategy takes this into account,” the document stated.

Report: Exxon, Shell, Total, Statoil renew clean energy drive

In a foreword, chief executive Patrick Pouyanne emphasised the significance of the Paris Agreement in shaping the company’s business plans.

“COP21 was definitely a watershed,” he said. “Despite the current instability worldwide, 195 countries managed to unite around an ambitious climate agreement. That sends a strong message.”

The firm is basing its investment decisions around the International Energy Agency’s 2C scenario. That still sees oil and gas making up nearly half the energy mix in 2035.

But “strict investment discipline is vital,” Pouyanne said, to avoid wasting money on costly resources that may be surplus to requirements.

He also aims to ramp up renewables, notably solar and biofuels, to form 20% of the company’s portfolio in 20 years’ time.

Report: Pension holders petition funds on Exxon, Chevron climate resolutions

Total’s intervention follows rival Shell’s unveiling of its first ever 2C-compatible energy outlook.

Also holding its AGM on Tuesday, Shell came under pressure to go further and base its investment plans on that scenario.

Across the Atlantic, it is the turn of ExxonMobil and Chevron on Wednesday. They are taking a more defensive stance, opposing shareholder resolutions to assess the implications of 2C for their portfolios and appoint climate experts to their boards.

Total’s strategy won praise from Helen Wildsmith, stewardship director at charity specialist CCLA and founder of the Aiming for A investor coalition.

“Today we’ve seen evidence of good strategic analysis of the low-carbon transition by both Total and Shell’s boards at their AGMs, following intensive engagement by Aiming for A members and other investors in recent years,” she said in a statement.

“Tomorrow institutional investors have an important opportunity to signal to Exxon and Chevron that portfolio resilience is key to maintaining shareholder value following the Paris Agreement.”

To stand half a chance of holding global temperature rise below 2C, scientists estimate a third of proven oil reserves and half of natural gas is unburnable.
Related posts:

Big oil spent $115m ‘obstructing’ climate laws in 2015, NGO says
US Interior Sec: We won’t let Shell screw up Arctic drilling
Shell suspends Arctic drilling for 2013
US decision to open Arctic to Shell drilling sparks green fury

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[sarkasm] 24/5/2016 16:42

French oil and gas company Total will "seriously reconsider" its investment plans in France due to strikes in the oil sector that forced the company to shut down refineries, iTele television reported Total's chief executive as saying on Tuesday.

Patrick Pouyanne was speaking at the sidelines of Total's shareholders meeting in Paris.

PUBLICITÉ

(Reporting by Bate Felix; editing by Geert De Clercq)