Monday, May 25, 2020

Bate Felix News

Total Secures $14.4 Bln Funding for Mozambique LNG

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French energy major Total has secured $14.4 billion funding for its Mozambique liquefied natural gas project in Mozambique, two sources said on Wednesday.A source with knowledge of the matter said Total has reached a financing agreement with a group that includes around 20 lenders for the first phase of senior debt funding of $14.4 billion. The source did not specify the name of the banks involved in the financial arrangement.Total declined to comment. Bloomberg reported earlier on Wednesday that Total was set to sign $15 billion financing for the project in June.The company expects the financing to be closed in the third quarter…

TechnipFMC Cutting Jobs in Norway

Image Credit: TechnipFMC (Cropped)

Franco-American oil services company TechnipFMC plans to cut up to 700 jobs across its sites in Norway due to the turbulent oil market situation, a spokesman for the company said on Tuesday.TechnipFMC, whose customers include major oil companies, said it employs 3,100 staff in Norway, and both permanent and temporary staff will be affected."TechnipFMC confirms that, due to the unprecedented market situation, the Board of Directors for TechnipFMC in Norway have approved a reduction in the workforce," the spokesman said in a statement…

Total Keeps Dividend Steady in 'Exceptional Circumstances'

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French energy major Total promised to pay a steady cash dividend and said it can break even with low oil prices after the impact of the coronavirus outbreak and a collapse in fuel demand led to a 35% first-quarter profit fall.It also raised its climate ambitions, saying it aims to reach net-zero emissions from its operations and its energy products sold to customers by 2050 at the latest, but only in Europe.For oil majors, the crisis caused by the novel coronavirus compounds a climate crisis that has deterred some…

Total Cuts Capex, Mostly in E&P Business

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French energy group Total announced plans on Monday to step up cost cuts and suspend its share buyback programme in order to deal with a slump in oil prices and the economic fallout from the coronavirus outbreak.Total CEO Patrick Pouyanne said that with prices of $30 per barrel, Total would now target organic capital expenditure cuts of more than $3 billion.In a video message to the company's staff last Thursday, Pouyanne said the group was facing three crisis - the corornavirus outbreak, the crash in oil prices due to a sharp fall in global oil demand just as supply is expected to rise…

TechnipFMC Shelves Spin-off Due to Market Turmoil

(Photo: TechnipFMC)

Franco-American oil services firm TechnipFMC Plc is putting on hold plans to split itself into two due to turbulence in financial markets linked to the coronavirus outbreak, it said on Sunday.The group, created three years ago via the merger of Technip and FMC, had been planning to separate its engineering and construction activities from its upstream oil services business in the first half of this year."Market conditions have changed materially due to the COVID-19 pandemic, the sharp decline in commodity prices, and the heightened volatility in global equity markets," TechnipFMC said in a statement."The impacts of these events have crea

Total CEO: Governments Not Oil Firms Must Drive Carbon Curbs

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It is up to governments to drive decarbonisation and consumers will have to pay more to achieve carbon neutrality, Total's chief executive said, adding the French firm has no intention of moving away from oil and gas production.Oil firms should not be seen as "villains" amid growing pressure from investors and climate activists, chief executive and chairman Patrick Pouyanne told Reuters at Total's headquarters in the Scottish oil hub of Aberdeen.Giving up on oil and gas would be "a huge mistake", partly because it pays for investment in green technology…

Total Rejects Force Majeure Notice From Chinese LNG Buyer

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French oil major Total has rejected a force majeure notice from a buyer of liquefied natural gas (LNG) in China, a Total executive said during the company's full-year results presentation on Thursday."Some Chinese customers, at least one, are trying to use the coronavirus to say I have force majeure," said Philippe Sauquet, head of Total's gas, renewables and power segment."We have received one force majeure that we have rejected."A Chinese international trade promotion agency said last week it would offer force…

Total Criticizes EIB's Decision Not to Finance Gas

With a plateau production of 100,000 barrels of oil equivalent per day (boe/d), Culzean will account for around 5% of the UK’s gas consumption (Photo: Total)

Total criticized on Thursday the European Investment Bank's decision to stop financing all fossil fuel projects including gas, saying companies that might switch to gas-fired power plants from heavy-polluting coal could now reconsider."I think it is a poor decision by the European Investment Bank (EIB) not to finance any new gas project.

France Plans 1 GW Offshore Wind Farm

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France wants to construct a wind farm off the coast of Normandy as the nuclear-dependent nation moves to expand power generation from renewable sources, the energy ministry said on Monday.The planned 1-gigawatt (GW) wind farm could have up to 80 wind turbines of around 12 megawatts each, in an area where wind conditions and the seabed are very favorable for offshore wind power at a competitive price, the ministry said in statement.France is racing to boost the share of renewable generation capacity in its energy mix and reduce its dependence on nuclear energy.

TechnipFMC: Record Orders, Backlog in Q2

(Photo: TechnipFMC)

Franco-American oil services company TechnipFMC received a record volume of orders in the second quarter, pushing its backlog of projects to a peak thanks to new liquefied natural gas projects, it said on Wednesday.The records could signal a rebound for the company created by a 2016 merger of France's Technip and U.S. rival FMC Technologies to weather the oil price crash that had forced their oil major clients to slash budgets and shelve projects."We achieved record inbound orders in the quarter, with total company orders reaching $11.2 billion…

Total Plans $5 Bln in Asset Sales

(File photo: Malfere Damien / Total)

French energy giant Total will sell around $5 billion worth of assets, mostly from its upstream exploration and production business, as it seeks to focus on low breakeven projects that can weather weak oil prices, it said on Thursday.The company reported a 19% year-on-year drop in adjusted net profit to $2.9 billion in the second quarter, which it attributed to a combination of unfavorable market factors.These include a 7% drop in oil prices since the second quarter of 2018, a sharp fall in gas prices, and a slide…

TechnipFMC Wins $7.6 Bln Contract

(Image: Novatek)

Oil services company TechnipFMC won a $7.6 billion contract with Russia's Novatek and its partners for the Arctic 2 liquefied natural gas project in western Siberia, pushing TechnipFMC's shares higher.TechnipFMC's Paris-listed shares rose 3.2% in early session trading, as analysts welcomed the new contract.TechnipFMC said the consolidated value of the contract to it for Arctic LNG-2 was $7.6 billion and consisted of three LNG trains, each with a capacity of 6.6 million tons per annum (Mtpa)."TechnipFMC's announcement of the award of the $7.6 billion award for the 3-train Arctic LNG 2 project will…

Total Launches New Supercomputer

(Photo: Total)

Energy major Total said its new supercomputer - which has propelled it to a world ranking as the most powerful computer in the sector - will enable its geologists to find oil faster, cheaper and with a better success rate.The Pangea III computer build by IBM will help process complex seismic data in the search for hydrocarbons 10 times faster that before, Total said on Tuesday.The computing power of the company has been increased to 31.7 so-called 'petaflops' from 6.7 petaflops in 2016, and from 2.3 petaflops in 2013…

Total to Discuss Anadarko Assets with Algeria

Total will meet Algerian authorities for talks over its plans to buy Anadarko's assets in the country and is not worried by media reports that Algiers would block the deal, Chief Executive Patrick Pouyanne said on Wednesday."We will meet Algerian authorities very soon," Pouyanne told shareholders at the company's annual meeting in Paris. "We are not worried. It is normal that authorities seek to have dialogue with their principal partners and Total is one of the partners of Algeria."Algeria's energy minister said…

French, Irish Back Celtic Undersea Power Cable

French energy regulator CRE and its Irish counterpart CRU said on Monday they are backing a bid by the Celtic Interconnector undersea power cable project to get at least 60 percent of its 930 million euros investment from European Union grants.The 700 megawatts high-voltage power cable project, led by French power grid operator RTE and Ireland's EirGrid, will be the first interconnector linking Ireland to France.The regulators said that in the context of Britain's exit from the European Union, the project will establish a direct power link between Ireland and the European internal energy market.

Oxy Would Sell Anadarko’s Africa Assets to Total

(Photo: Anadarko)

France's Total SA said on Sunday it has agreed with Occidental Petroleum Corp to acquire the African assets of Anadarko Petroleum Corp for $8.8 billion, should the two U.S. oil and gas companies clinch a deal to combine.The agreement with Total is the latest move by Occidental in its effort to convince Anadarko to accept a $38 billion cash-and stock acquisition offer and abandon its agreed $33 billion sale to Chevron Corp. On Tuesday, Occidental secured a $10 billion investment from Warren Buffet's Berkshire Hathaway…

Total Profits Take a Hit

(Photo: Total)

French energy major Total said its net profit for the first three months of the year fell 4 percent to $2.8 billion compared with a year ago due to volatile oil prices and debt costs, despite record oil and gas output.The firm kept its investments, and cost savings target for the year unchanged, and said production growth should exceed 9 percent during the year, thanks to the ramp-up of projects started in 2018, and the start-ups of others in Angola, Brazil, Britain and Norway.It said it would take advantage of the low cost environment to launch further projects in Brazil…

Sonangol Plans to Downsize

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Angola's state oil company Sonangol plans to divest 52 joint ventures, reduce staff and focus on its core business, part of an ongoing reorganization and package of reforms designed to lure back investors, its chairman said on Friday."We are going to sell, close or put out of our group a lot companies," Carlos Saturnino told an oil conference in Paris. "Last year, we identified 52 joint ventures in which we want to sell our equity.""Instead of investing in Australia, United States etc, Sonangol wants to become an oil company of reference in the African continent.

$13 Bln Papua LNG Project Pushes Ahead

France's Total and its partners signed a long-awaited deal with Papua New Guinea on Tuesday that will allow initial work to start on a $13 billion plan to double the country's liquefied natural gas exports.Developing the Pacific island nation's gas reserves is seen as crucial to its economy as LNG is its biggest export earner, while demand for the fuel is surging globally.Total's partner Oil Search said the agreement would allow the parties to start engineering and design work for a project dubbed Papua LNG also involving Exxon Mobil.They now aim to make a final investment decision in 2020…

Prospective Bidders for Eneco Narrows

Photo courtesy of Eneco

The field of prospective bidders for Dutch energy company Eneco has narrowed as initial interest from big electricity players including France's Engie and Austria's Verbund has fizzled out, sources close to the matter said.The 53 municipalities that currently own Eneco, estimated by analysts to be worth about 3 billion euros ($3.35 billion), said in December they would sell the company through an auction later this year.The process is now expected to kick off in May, when confidential information packages will be circulated to interested parties to undertake due diligence checks on the business…