Baku, Azerbaijan, Feb.9
By Leman Zeynalova – Trend:
France’s Total oil and gas company has generated adjusted net income of $8.3 billion and had the highest profitability among majors in 2016, said the company’s chairman and CEO Patrick Pouyanne.
Pouyanne pointed out that the company’s resilience was supported by outstanding production growth over the past two years (14.3 percent, including 4.5 percent in 2016), said the message posted on Total’s website.
Total is continuing to cut costs with the objective of achieving $3.5 billion of cost savings in 2017 and bringing production costs down to 0.5 $/boe (barrel of oil equivalent) for the year, according to the Fourth Quarter and Full-Year 2016 Results posted on the company’s website.
The company’s investments are expected to be $16-$17 billion in 2017, including resource acquisitions.
In 2017, Total’s breakeven will continue to fall, reaching less than 40 $/b pre-dividend. Cash flow from operations is expected to cover investments and the cash portion of the dividend at 50 $/b.
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