Now that Total SA (NYSE:TOT) has closed their acquisition of UTS Energy, they are going to put their heads together with Suncor Energy (NYSE:SU) and Teck Resources Ltd (NYSE:TCK) concerning the Fort Hills Canadian oil sands project.
With the purchase of UTS Total gained a 20 percent share in the Fort Hills project, which includes Teck and Suncor as partners. Suncor has a 60 percent stake and Teck the other 20 percent.
Construction costs on the project soared right before the recession, causing the project to be shut down. Total wants to get together with their partners and put together a strategy on restarting the property.
Jean-Michel Gires, president of Total E&P Canada, said, "We will meet with the other partners ... in order to study the next step, especially how Suncor wants to promote a new development plan for this asset." There should be a plan in place within several weeks, added Gires.
Total has other projects in the sands, including their partnership with ConocoPhillips (NYSE:COP) in Surmount, Joslyn, and Northern Lights.
Surmont and Joslyn could produce a combined 310,000 barrels a day in a few years. Joslyn still has to be approved by Alberta's Energy Resources Conservation Board. Surmont is projected to produce about 110,000 barrels a day by 2015.
Total is hoping for regulatory approval by the end of 2011, with production starting in 2017 if that happens.
Showing posts with label Total SA. Show all posts
Showing posts with label Total SA. Show all posts
Monday, October 4, 2010
Wednesday, September 15, 2010
Citigroup (NYSE:C) Says Cnooc Could Pay BP (NYSE:BP) $10.2 Billion for Asset in Argentina
Citigroup (NYSE:C) said today Cnooc Ltd. could make a bid of $10.2 billion for its 60 percent for BP's (NYSE:BP) stake in Argentina’s Pan American Energy LLC. Cnooc is the largest Chinese offshore exploration company.
The bid would be a 10 percent premium over what it paid earlier in 2010 for Pan American, but that is because they would assume control of the company if they are successful in their BP bid.
If this goes through, it would be close to double the approximate $10 billion in assets already sold, and two-thirds of the way toward the $30 billion BP is attempting to raise to meet liability obligations in relationship to the Gulf of Mexico oil spill.
Cnooc is reportedly looking for a partner in the bid, which could come from Apache Corp. (NYSE:APA), Occidental Petroleum Corp. (NYSE:OXY) or Total SA (NYSE:TOT), all of which have operations in Argentina already.
The bid would be a 10 percent premium over what it paid earlier in 2010 for Pan American, but that is because they would assume control of the company if they are successful in their BP bid.
If this goes through, it would be close to double the approximate $10 billion in assets already sold, and two-thirds of the way toward the $30 billion BP is attempting to raise to meet liability obligations in relationship to the Gulf of Mexico oil spill.
Cnooc is reportedly looking for a partner in the bid, which could come from Apache Corp. (NYSE:APA), Occidental Petroleum Corp. (NYSE:OXY) or Total SA (NYSE:TOT), all of which have operations in Argentina already.
Wednesday, September 8, 2010
Chevron (NYSE:CVX), Total ((NYSE:TOT) Target Prices Lowered by The Benchmark Company
The Benchmark Company said they're lowering their target prices on Chevron (NYSE:CVX) and Total (NYSE:TOT), based on the "weakness in the overall equity market," along with a "gas-price-related reduction in" their "normalized liquid-natural-gas earnings estimate."
Chevron's price target was dropped from $98 to $94 a share, and Total's target price was lowered from $68.74 a share to $58.55 a share.
Benchmark maintained their "Buy" rating on Chevron, basing it on their "unchanged belief that the discounted normalized earnings-multiple valuation currently in place is unjustifiable given the superior strength and growth potential of the Company's robust and diversified upstream portfolio."
They also reiterated their "Buy" rating on Total, saying, "We reaffirm our Buy rating based upon our unchanged belief that the discounted normalized earnings-multiple valuation currently in place is unwarranted given the superior growth and return potential of the company's robust and highly diversified upstream portfolio."
Benchmark kept their "Market Weight" on the overall integrated major oil sector.
Chevron's price target was dropped from $98 to $94 a share, and Total's target price was lowered from $68.74 a share to $58.55 a share.
Benchmark maintained their "Buy" rating on Chevron, basing it on their "unchanged belief that the discounted normalized earnings-multiple valuation currently in place is unjustifiable given the superior strength and growth potential of the Company's robust and diversified upstream portfolio."
They also reiterated their "Buy" rating on Total, saying, "We reaffirm our Buy rating based upon our unchanged belief that the discounted normalized earnings-multiple valuation currently in place is unwarranted given the superior growth and return potential of the company's robust and highly diversified upstream portfolio."
Benchmark kept their "Market Weight" on the overall integrated major oil sector.
Citigroup (NYSE:C) Initiates Coverage on Chesapeake (NYSE:CHKM)
Citigroup (NYSE:C) has initiated coverage on Chesapeake Midstream Partners, L.P (NYSE:CHKM), one of a coterie of financial institutions which have been attracted to the company.
Citi started off with a "Buy" rating on the company, which transports natural gas from the well head to the pipelines of the companies it serves. Their price target is $28.50.
It's largest customers are Chesapeake Energy (NYSE:CHK) and Total (NYSE:TOT)
Chesapeake Midstream is a venture between Chesapeake Energy and Global Infrastructure Partners LP.
Citi particularly likes the fee-based contracts of Chesapeake, which provides a steady cash flow which has little risk to commodity price fluctuations.
Chesapeake Energy and Total have a minimum volume commitment with Chesapeake Midstream which is contracted over a period of ten years, and increases annually through 2018.
Operating in a low cost region, the company should be able to enjoy solid margins which won't be affected by declining prices of natural gas because of the structure of their revenue.
Citi said even with all that positive for the company, it's probably their relationship with Chesapeake Energy which will be most beneficial, and there is some risk if Global Infrastructure Partners LP were to leave the venture, although that would probably be more of a weight on the share price than risk to the business.
Citi started off with a "Buy" rating on the company, which transports natural gas from the well head to the pipelines of the companies it serves. Their price target is $28.50.
It's largest customers are Chesapeake Energy (NYSE:CHK) and Total (NYSE:TOT)
Chesapeake Midstream is a venture between Chesapeake Energy and Global Infrastructure Partners LP.
Citi particularly likes the fee-based contracts of Chesapeake, which provides a steady cash flow which has little risk to commodity price fluctuations.
Chesapeake Energy and Total have a minimum volume commitment with Chesapeake Midstream which is contracted over a period of ten years, and increases annually through 2018.
Operating in a low cost region, the company should be able to enjoy solid margins which won't be affected by declining prices of natural gas because of the structure of their revenue.
Citi said even with all that positive for the company, it's probably their relationship with Chesapeake Energy which will be most beneficial, and there is some risk if Global Infrastructure Partners LP were to leave the venture, although that would probably be more of a weight on the share price than risk to the business.
Wednesday, July 14, 2010
Anadarko (NYSE:APC), Total SA (NYSE:TOT) Might Bid on Black Sea Drilling Permit
Anadarko Petroleum (NYSE:APC) and Total SA (NYSE:TOT) are among a growing number of international oil companies being invited by Bulgaria to bid on drilling permits for the Black Sea region off its coast.
The particular area being looked at is called the Silistar bloc, which is an area of approximately 4,313 square miles.
This is the first time Bulgaria has offered deep-water drilling permits for its waters.
Higher energy prices and better technology have made it much more interesting for countries in need of energy and job creation.
This region of the Black Sea is largely unexplored, making it very attractive for the possibilities it offers.
The particular area being looked at is called the Silistar bloc, which is an area of approximately 4,313 square miles.
This is the first time Bulgaria has offered deep-water drilling permits for its waters.
Higher energy prices and better technology have made it much more interesting for countries in need of energy and job creation.
This region of the Black Sea is largely unexplored, making it very attractive for the possibilities it offers.
Friday, July 2, 2010
BP (NYSE:BP) Assets Would Interest Total (NYSE:TOT)
With BP (NYSE:BP) looking to raise $10 billion by divesting of some of its assets, a number of energy and oil companies have shown interest for when that happens, including French oil giant Total SA (NYSE:TOT).
When asked on Friday, Total CEO Christophe de Margerie said that while they aren't looking at the possibility of acquiring BP outright, they would look at any asset they had as a possible acquisition target.
"Today our priority is not to look at the assets of BP... (Yet) if they put them up for sale now, of course it would be looked at," said de Margerie at the Rencontres Economiques conference.
After plunging over $100 billion since the Gulf oil accident, BP is now valued less than Total, with Total having a market cap of $101 billion, and BP $91 billion.
When asked on Friday, Total CEO Christophe de Margerie said that while they aren't looking at the possibility of acquiring BP outright, they would look at any asset they had as a possible acquisition target.
"Today our priority is not to look at the assets of BP... (Yet) if they put them up for sale now, of course it would be looked at," said de Margerie at the Rencontres Economiques conference.
After plunging over $100 billion since the Gulf oil accident, BP is now valued less than Total, with Total having a market cap of $101 billion, and BP $91 billion.
Thursday, May 6, 2010
Exxon Mobil (NYSE:XOM), Chevron (NYSE:CVX), ConocoPhillips (NYSE:COP) Bidding on Iraq Gas Fields
Exxon Mobil (NYSE:XOM), Chevron (NYSE:CVX) and ConocoPhillips (NYSE:COP), among a number of other energy companies, have been invited to bid on licenses for three major gas fields in Iraq; the Akkas field, the Mansouriya field and the Siba field.
Iraq is rated as the 11th in size for natural gas reserves, with an estimated 3.15 trillion cubic meters. Production at this time stands at 1.64 billion cubic feet a day.
The gas fields are being offered for auction because of the shortage of natural gas needed to run the power generators in Iraq, which at this time are providing less that half of what the country needs.
Other companies among the 45 invited to the auction include BP PLC (LSE:BP) (NYSE: BP), Occidental Petroleum (NYSE:OXY), Royal Dutch Shell (NYSE: RDS-A) and Total SA (NYSE:TOT).
Iraq is rated as the 11th in size for natural gas reserves, with an estimated 3.15 trillion cubic meters. Production at this time stands at 1.64 billion cubic feet a day.
The gas fields are being offered for auction because of the shortage of natural gas needed to run the power generators in Iraq, which at this time are providing less that half of what the country needs.
Other companies among the 45 invited to the auction include BP PLC (LSE:BP) (NYSE: BP), Occidental Petroleum (NYSE:OXY), Royal Dutch Shell (NYSE: RDS-A) and Total SA (NYSE:TOT).
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