Yemisi Izuora
French oil major TotalEnergies has reported a 29 per cent rise in first-quarter earnings.
The exciting report is driven by the war in Iran and new international projects coming online.
This comes as supply disruptions caused by the Israel-US conflict took 15 per cent of the firms’ upstream production offline.
Adjusted net income for the first quarter came in at $5.4 billion (£4bn), up from $4.2bn (£3.1bn) in Q1 last year.
The report beat analyst expectations of $5bn (£3.6bn), according to the London Stock Exchange.
Despite losing around 15 per cent of its production due to Middle East disruptions, it was offset by project ramp-ups across Lapa SW in Brazil and Mabruk in Libya. Refineries operated above 90 per cent and LNG output rose 10 per cent.
Speaking on the earnings report, Total’s chief executive Patrick Pouyanné said: “Driven by a 4% year-on-year organic production growth, offsetting the impact on production of the current Middle East conflict, demonstrates its ability to capture price upside through a high-performing and diversified integrated portfolio in oil, gas and power.
In its quarterly highlights, Pouyanné pointed to the completion of the creation of NEO NEXT+, the country’s largest oil and gas producer, which TotalEnergies holds a 47.5% stake.
Upon the completion of the deal, Neo Next+ declared itself ” the largest producer on the UK Continental Shelf,” a title rival Adura had previously claimed when it formed from the coming together of Shell and Equinor’s UK assets last year.