Total Sees Cash Flow, Output Boost from Deepwater Projects

Tuesday, September 25, 2018

Oil and gas major Total said on Tuesday it expected deepwater oil and gas operations to make a strong contribution to its output and cash flow thanks to major developments in the West Africa's Gulf of Guinea region, Brazil and U.S. Gulf area.

Production from deepwater projects is expected to reach 500,000 barrels of oil equivalent per day (Kboe/d) by 2020, contributing to its 6 to 7 percent output growth target per year from 2017 to 2020.

"Deepwater is today for us a growing and very profitable part of the portfolio," Total's President for Exploration and Production Arnaud Breuillac, told investors in New York.

Deepwater production will increase to more than half a million barrels of oil per day by 2020 with cash flow from operations at over $30 per barrel at an oil price of $60 per barrel, Breuillac said.

"Deepwater is approximately 15 percent of the group's production but it will contribute to more than 35 percent of cash flow from operations in the coming years," he said during a presentation.

Total's deepwater projects on the West African coast includes Moho Nord in Congo, Kaombo North in Angola which began production in July. Production is expected to start at its Nigeria's Egina field by the end of the year, and at Kaombo South by the summer of 2019.

Breuillac said the French company had a number of significant projects in pipeline in Brazil's "pre-salt" or deep offshore projects, including Lapa, Libra and Lara projects which could add around 100 kboe/d by 2022.

In the Gulf of Mexico, the Ballymore giant discovery is being appraised, while production and more developments were ongoing at its Jack and Tahiti operations.

Total is also exploring in several new deep water areas in Guyana, Mauritania and Senegal, and in South African and Namibia.

"We have a strong deepwater exploration portfolio with numerous drill targets in large areas, targeting significant areas to be drilled in the next two to three years," Breuillac said.


(Reporting by Bate Felix. Editing by Jane Merriman)

Categories: Deepwater Finance Offshore Energy Energy Industry News

Related Stories

Centrica and Thailand’s PTT Ink Long-Term LNG Supply Deal

Woodside and Jera Agree LNG Cargoes Supply for Japan’s Winter Period

Petronas Expands Suriname Portfolio with Deepwater Block Acquisition

MODEC and Terra Drone Renew FPSO Drone Inspection Partnership

Chuditch Gas Field Drilling Ops Get Delayed to Next Year

CNOOC Starts Production at Offshore Field in South China Sea

MODEC, Carbon Clean to Advance FPSO-Mounted Carbon Capture Tech

Aker Solutions, PTAS JV Hooks Brownfield Services Extension off Brunei

BP Expands Oil and Gas Scope in Azerbaijan with New Projects and Exploration Rights

Azeri SOCAR Plans New Agreements with Oil and Gas Majors

Current News

Centrica and Thailand’s PTT Ink Long-Term LNG Supply Deal

Petrovietnam, Partners Sign PSC for Block Off Vietnam

Japan Protests China’s New Oil and Gas Construction Activities in East China Sea

CNOOC Signs Hydrocarbons Exploration and Production Deal with Kazakhstan

Thailand's PTT to Buy LNG from Glenfarne's Alaska LNG Project

Woodside and Jera Agree LNG Cargoes Supply for Japan’s Winter Period

Petronas Expands Suriname Portfolio with Deepwater Block Acquisition

Japanese Oil and Gas Firm Enters Two Blocks off Malaysia

Yinson Production, “K” LINE Target Europe's CCS with FSIU and LCO2 Solutions

Woodside Agrees Long-Term LNG Supply with Petronas Unit

Subscribe for AOG Digital E‑News

AOG Digital E-News is the subsea industry's largest circulation and most authoritative ENews Service, delivered to your Email three times per week

https://accounts.newwavemedia.com