The oil and gas major Total intends to step up its production growth by 5% per year until 2022 and also expects to focus on oil projects with a low breakeven. Besides, the company is scheduling to achieve savings of US$3.6bn by the end of 2017 and expects savings on operations reaching US$4bn in 2018 and US$5bn in 2020. The capital expenditure (Capex) target for the 2018-2020 period has been set at US$13bn-US$15bn, down from a previous guidance of US$14bn-US$15bn in 2017. Production costs have been reduced below US$5.5/boe in 2017, down from US$5.9/boe in 2016 and US$7.4/boe in 2015.
Total has completed its 2015-2017 US$10bn asset sale programme, which included non-core and high breakeven assets. These divestments are diverse and include downstream (the Schwedt refinery in Germany), midstream and upstream assets (10% of Fort Hills, 20% of Kharyaga).
The company also aims at expanding its presence along the gas value chain and at growing its foothold in the low-carbon businesses. The company's rationale is to build steadily a profitable low carbon portfolio in its integrated gas and renewable energy business units.