Total’s quest for low-cost oil and gas reserves has led it to snap up a number of high profile assets in the Mena region of late. The results have been broadly positive, with the French major’s regional oil production hitting a series of highs. On the gas front it hasn’t been so lucky: regional output has been slashed by wars in Syria and Yemen, while a high-profile gamble on Iran has been derailed by the Trump administration in the US.
But Total’s strategy remains the same. “Clearly for us on oil, we want to dedicate our investment to what I call low breakeven oil,” CEO Patrick Pouyanné told the Opec Seminar in Vienna on 20 June. And low breakeven oil often means the Middle East. He cited the UAE, where Total signed up to two major offshore concessions in a $1.45bn deal replacing the expired Adma concession (MEES, 23 March), as well as “giant offshore fields” in arenas such as Brazil. (CONTINUED - 1123 WORDS)
