TotalEnergies will stop buying Russian oil and petroleum products

[Article mis à jour le 22/03/2022 à 20:00]

TotalEnergies was territorial because it was sufficiently isolated with a strategy of maintaining activity in Russia after the chain divestment of western oil and gas giants from BP to Shell via ExxonMobil. Was tightened. A few days ago, EELV candidate Yannick Jadot in the presidential election called the tricolor company ” War crimes “While environmental NGOs were mobilizing, we decided to bend their CEO, Patrick Pouyanné.

“” Faced with intensifying conflict “In addition, in response to the accompanying media storm, TotalEnergies used a press release on Tuesday to insist that it stop purchasing all Russian oil or petroleum products.” By the end of 2022 “Even though the European Union has not imposed an embargo on Black Gold, he said. Gradual suspension of its activity In the country of Vladimir Putin.

On March 7, Patrick Puyanne had already assured that: “” [s]He is a trader (editor’s note on the group’s market activities) [prenaient] No more Russian oil since the crisis began “But this time, the announcement goes further because it affects the black gold supply contract. And especially related to the German refinery in Leuna, or the purchase contract for diesel in Russia. Europe is a diesel Although 12% is imported from Russia, the group plans to replace imports from other continents, especially from the Saudi Aramco refinery Satorp, which is a shareholder of Aramco.

No disposal of equity in gas assets

Nevertheless, when it comes to gas, the oil giant isn’t going to change gear completely.Even if you don’t bring it More capital In the Artic LNG 2 Liquefied Natural Gas (LNG) Plant Mega Project, which was previously scheduled to launch in 2023, it is ” Continue to supply LNG to Europe from the Yamaru LNG plant “The huge gas liquefaction site in the northern part of the country has produced about 18 million tons of LNG annually since December 2017, accounting for 16.6% of TotalEnergies’ annual gas production in 2020. As long as the government thinks it needs Russian gas, it is bound by long-term contracts that must be respected. », Specify TotalEnergies in the press release.

Therefore, to justify itself, the group is advocating the European Union’s decision to maintain Russia’s gas supply at this stage despite the war in Ukraine. In fact, Moscow has been supplying the Old World with abundant fossil fuels in exchange for about € 17 billion since the start of the conflict on February 24th.

Why TotalEnergies doesn’t want to leave Russia, unlike other western oil companies

In general, TotalEnergies does not intend to immediately abandon its stake in Russian gas assets. Specifically, it owns 19.4% of the second largest gas producer in Novatek, the country of Vladimir Putin. Overall (that is, counting Novatek’s stock), it also owns 29.7% of Yamal LNG and 21.64% of Arctic LNG 2. current situation [l’]Will prevent non-Russian buyers from taking over Russian minority shares “.

“Furthermore, if TotalEnergies abandons its minority shareholder holdings, it will not affect the company’s operations and thus its earnings, as the company has its own staff and is operated independently. The company insists.

Strategic area of ​​TotalEnergies

Still, it has a huge impact on TotalEnergies itself. If the group is realized in Russia 3-5% Of that revenue, Patrick Puyanne was minimized at the end of February, and until then Russian territory proved to be very strategic for companies that have been working on it with a long-term vision. In addition, gas, not oil, accounts for more than 80% of TotalEnergies’ hydrocarbon production in Russia (which has the world’s first proved reserves).

“” According to the CEO, if you want to succeed in getting out of oil, you need to look at gas as well as renewable energy. Therefore, Russia’s LNG is a major activity in its transition plans, and Russia’s withdrawal from LNG today is in no way in line with its long-term strategy. “, Sources near the company gallery Early March.

The group has invested nearly 20 billion euros in total, as evidenced by the huge investment in Russia. Therefore, as of December 31, 2020, Total owns 24% of proved reserves in Russia, and 16.6% of the Group’s total liquid and gas production is double that of 2020, or 2012. was.

Russian gas: why Europe is trapped