Explore and Produce
Utilising our expertise in oil and gas
According to the IEA, hydrocarbons will continue to play a major role in meeting world energy needs and will represent more than 40% of primary energy in 2035 in the IEA’s 2°C scenario. Thanks to projects we are developing around the world, our expertise and our capacity for innovation, Total will continue to contribute to the supply of oil and gas that the world requires. However, we are aiming for a steady decrease in the carbon levels of our energy mix in favour of hydrocarbons that emit less CO2.
Some oil and gas reserves are located in deep seabeds. To extract them, our exploration and production teams use expertise acquired over the course of 30 years, building innovative infrastructure that has made Total one of the world's leading deep offshore operators. Approximately 40% of our operated production of hydrocarbons comes from deep offshore.
Some of the most iconic examples of our expertise include riser towers installed in 2001 during the Girassol project in Angola for deep offshore development, and last year's installation of underwater electric wellheads in Dutch waters, an advancement in the development of marginal fields.
This expertise allows us to meet new technological challenges—ultra-deep offshore, small remote deposits, complex resource extraction, extreme weather conditions—while ensuring projects are cost effective.
Natural gas is also an essential part of our strategy. Today, gas accounts for nearly 50% of Total’s hydrocarbon mix, and we have set ourselves the goal of further increasing its share in our mix to meet demand for electricity. In electricity production, gas emits half the CO2 of coal during its life cycle.
Another advantage to gas is the ability to transport it in liquefied form over long distances. LNG, or liquefied natural gas, opens the door to international markets and trading opportunities in regions remote from high consumption areas, offering greater flexibility in supply management. Total is one of the world's leaders across the integrated LNG supply chain. Our expertise enables us to take part in complex, competitive projects like Yamal LNG in Russia. Yamal is expected to come on stream in late 2017 and will have a production capacity of 16.5 million metric tonnes of LNG per year.
Supplying responsible energy
We believe that supplying responsible energy means adhering to the strictest safety standards.
We also do everything we can to reduce the environmental impact of our installations:
- We reduced routine flaring by over 50% between 2005 and 2015 at installations that we operate, as we did at the Ofon 2 oil field in Nigeria, where routine flaring ceased completely in December 2014. We intend to reduce it by a further 80% between 2010 and 2020 and eliminate it completely by 2030.
- We are investing in carbon capture, use and storage technologies, which we believe are efficient ways to achieve carbon neutrality. We will dedicate a significant portion of our R&D budget to such technology (up to 10%).
- We have also set ourselves the goal of improving the energy efficiency of our installations by an average of 1% per year between 2010 and 2020.
Finally, we constantly seek to incorporate host countries and their citizens into our business, as is illustrated by the Betosala program in the Congo. The program helped Congolese small businesses bid on contracts for the Moho Nord project.
Total: Investing in the future of energy
Though hydrocarbons play a core role in Total's strategy, we believe that we must diversify our supply of energy. Our aim is to develop renewable energy and incorporate new activities that support it.
We are a major player in solar energy. Working with our subsidiary, SunPower, we manufacture high-performance cells and design turnkey power stations, such as Solar Star in the United States, the largest photovoltaic solar power station in the world.
To meet customer demand, we want to go one step further by selling integrated solar solutions that combine solar power, storage, and digital optimization tools for distributed electricity.
We also invest in bioenergy to provide fuel and products that are more environmentally friendly.
Ship and Market
AN INTEGRATED LEADER OF GLOBAL PROPORTIONS
At Total, more than 2,000 experienced traders work in the oil and gas markets. Their main goal is to meet the Group’s needs by enhancing its production, supplying its units under the best market conditions and importing/exporting products in order to adjust supply to local demand. This work is essential to maintain energy supplies and relies on the close relationships that we build with a vast network of suppliers and customers (oil companies, refineries, traders, distributors, power stations, etc.).
We chartered more than 3,000 ships in 2016 to transport oil and gas from production areas to large consumer areas. These operations are carried out under the most stringent safety conditions and with vetting criteria that go beyond the international regulations in force.
To get even closer to our customers, we are constantly expanding our network of service stations. We currently have 16,000 stations spread throughout 66 countries. Our goal: to make our service stations veritable “one-stop-shops” by offering a host of services in addition to providing energy, such as services linked to mobility, food service, shops and community services.
Apart from our service stations, our distribution expertise enables us to meet different energy needs. We offer a wide variety of solutions to both private individuals and companies for on-site or mobile use, with a varied selection of not only fuel oil, gas, electricity and petrol, but also petrochemical products such as lubricants, additives, special fluids and bitumen.
RESPONSIBLE SOLUTIONS FOR A BETTER FUTURE
Our goal is to become the responsible energy major. To accomplish this, we constantly strive to limit our environmental impact.
For example, we have launched a solar programme to equip 5,000 of our service stations throughout the world with solar panels within the next 5 years. This project will involve installing solar capacity of approximately 200 MW of power and represents an investment of close to $300 million. It will enable us to reduce our CO2 emissions by 100,000 tonnes per year.
We also aim to reduce the energy consumption and environmental footprint of our products so that our customers can use less more effectively. We are constantly innovating in order to offer numerous eco-efficient solutions to our customers:
- Our Total Ecosolutions range of products includes Excellium fuels (available in over 30 countries), Fuel Economy lubricants, which reduce vehicle energy consumption and CO2 emissions, and SunPower solar panels, which are among the most efficient in the world;
- In France and Belgium, our subsidiary Lampiris markets natural gas and green electricity generated from 100% renewable sources (hydro, wind and solar);
- In Africa, Asia and South America, we market Total solar solutions, a complete line of solar lamps and kits that provide light in homes without direct access to electricity;
- We are also developing consulting services for our professional clients that address energy efficiency, particularly through our subsidiaries Tegaz and BHC Energy.
Transform and Develop
A combination of operational excellence and flexibility
With holdings in 19 refineries and 26 petrochemical sites worldwide, Total is one of the 10 largest integrated industrial groups in the world. We meet diverse and evolving requirements while also keeping costs down for our customers. We are building our presence around the world, and are constantly seeking to be more competitive by getting the best from our industrial facilities.
For example, we produce polypropylene and polyethylene for the Asian market at Daesan, a world-class complex in South Korea.
In Saudi Arabia, SATORP, a joint venture harnessing the know-how of Saudi Aramco and our Group, is one of the world’s most efficient integrated platforms for the transformation of crude oil into high value-added refined products.
Our Port Arthur (USA) complex allows us to maximise output from raw materials. It was modernised recently, making it possible to process heavy crude and produce low-sulphur fuels.
Being a responsible industrial operator
Our challenges are not only industrial, but also societal and environmental. The performance and flexibility of our facilities go hand in hand with an uncompromising commitment to the safety of our staff, our suppliers and local residents. For example, we are signed up to the international Responsible Care® charter demonstrating our commitment to the standard-setting practices it sets out in the fields of hygiene, health, safety, security, the environment and societal responsibility.
We are also striving to reduce the environmental impact of our industrial sites, in particular by focusing on energy efficiency improvements at our plants. Total cut its net primary energy consumption by 7% between 2010 and 2016. In early 2016, we set a new target of an average 1% per year improvement in the energy efficiency of our facilities from 2010 to 2020, even in an increasingly complex operating environment. In addition, since 2015, all the Group’s polymer production sites have taken part in Operation Clean Sweep®. Launched internationally by plastics trade federations, this initiative aims to prevent plastic microbeads being released into the environment.
Finally, we are innovating so that we can offer our customers more environmentally-friendly products. In particular, we want to develop biofuels and bioplastics on a large scale. The La Mède refinery in the south of France is being converted to become the first bio-refinery in the country. This industrial transformation will enable us to meet the growing demand for biofuels in Europe.