Total chairman and chief executive Patrick Pouyanné has presented the company's strategy and outlook to the financial community.
He says that in an environment where oil and gas prices have fallen significantly and remain volatile, the company is focused on being excellent at everything it can control:
- Increasing Opex savings from $3 to $4 billion by 2018
- Delivering growth with Capex at a sustainable level of $15 to $17 billion per year from 2017, $2 billion less than previous guidance due to further Capex discipline and cost deflation
- Growing production by an average rate of 5% per year from 2014 through to 2020 (rather than to 2019 in previous guidance).
Results for 2015 and the first 6 months of 2016 demonstrate the strength of the Group’s integrated business model and the progress it is making to reduce its breakeven and deliver growth projects.
Total says it is managing its portfolio and allocating investment to position itself for profitable medium term growth with the following priorities:
- Lowering the breakeven of oil portfolio, both Upstream and Downstream
- Expanding along the full gas value chain
- Capitalising on customer-focused culture to grow its marketing and services positions
- Positioning in low carbon energy business
At 3:01pm: (LON:TTA) Total SA share price was +0.84p at 42.94p