Total’s profit soars on higher oil prices, LNG sales decline
French energy giant and LNG player Total saw its second-quarter adjusted net profit soar on the back of increasing oil prices.
The company reported a 44 percent jump in adjusted net income for the second quarter of 2018, reaching $3.6 billion compared to $2.7 billion in the second quarter last year.
Total’s liquefied natural gas sales during the period under review declined 7 percent compared to the corresponding period in 2017.
LNG sales were at 2.47 million tons, compared to 2.67 million ton in 2017.
Total’s report also shows that LNG sales during the first six months declined. Sales volumes reached 4.97 million tons, 12 percent below the 5.66 million tons sold in the first half of 2017.
Total’s chairman and CEO Patrick Pouyanne noted that its production “strongly increased by 8.7 percent from a year ago to 2.7 Mboe/d, due to the contribution from Maersk Oil and the ramp-up of new projects, including Yamal LNG, Moho Nord and Fort Hills.”
The company expects it production growth to be above 7 percent in 2018, benefiting in the coming months from start-ups of Kaombo, Tempa Rossa, Ichthys LNG and Egina, which are all seen as strong cash flow generators, as well as the ramp-up of production at Yamal LNG, Moho Nord and Fort Hills.