TotalEnergies will produce more hydrocarbons

During a meeting with TotalEnergies investors in New York, Patrick Pouyanné, its CEO, reaffirmed its “multi-energy” strategy, based on hydrocarbons (oil and in particular liquefied natural gas, LNG) and 'electricity. The French giant plans to increase its hydrocarbon production by 2% to 3% per year over the next five years, while reducing greenhouse gas emissions from its operations “thanks to its portfolio of low-cost projects. costs and low emissions”. Last year, the group's gas and oil production increased by 5%, after the low point of the Covid years. And, until now, the French major has not communicated a numerical growth or decline objective, counting on stable production by the end of the decade.

The group will thus put several projects into production in Brazil, the Gulf of Mexico, Iraq and Uganda, even if it means attracting numerous criticisms, particularly from ecological organizations. It will also develop new LNG projects, notably in Qatar, the United States and Mozambique, and “ strengthen its position as a leader in regasification in Europe and the leading exporter of LNG in the United States.” This while the Minister of Energy Transition, Agnès Pannier-Runacher, is campaigning in favor of an exit from hydrocarbons.

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Patrick Pouyanné believes, on the contrary, that it must support the increase in demand expected in the coming years. At the same time, TotalEnergies is continuing its development in electricity, where it is targeting profitability of 12%, “higher than that of the traditional model” in the sector. It deploys renewable energy production capacities (solar, onshore and offshore wind) and storage. The group plans to increase its electricity production to more than 100 terawatt hours by 2030 by investing $4 billion per year. Finally, TotalEnergies will allocate $1.5 billion from the sale of Canadian assets to share buybacks to bring them to $9 billion over the year. He thus stays the course, despite criticism from Emmanuel Macron in this regard.