Coming in line with a 16% rise in sales revenue, Total has announced a 16% increase in profits on previous figures. The company has claimed a net income of US$ 16.3 billion.
The boost in profits has been attributed, as is similar for many players in the oil industry, to a 40% increase in the price of Brent crude, which sustained an average price of US$ 111.3/bbl. in 2011. The increase in the price of Brent crude was so substantial that Total was able to post this increase in profits despite a dip in production of approximately 100 000 bpd. This decrease in production has been blamed on the Libyan civil war and a natural decline in older fields.
Total has reported that it has set aside US$ 20 billion for investment in 2012 in a bid to promote growth and profitability. A statement released by the company stated that “The ramp-up of Pazflor in Angola and the start-up of several major projects, including Usan in Nigeria, Angola LNG and Bongkot South in Thailand, will contribute to production growth in 2012 and to achieving the objective of growing production by 2.5% per year on average between 2010 and 2015.”
The giant Ichthys project offshore Australia is also set to promote Total’s growth in the near future.