UPDATE 1 – French Energy Group Total of $ 8 billion in Asset Impairment Books – Energy and Oil

0
85


(Add details, quote)By Bate Felix

PARIS, July 29 (Reuters) – French energy group Total will record an exceptional depreciation of $ 8 billion mainly on its Canadian oil sands and liquefied natural gas projects, it said on Wednesday.

“Overall, the exceptional asset write-downs that will therefore be taken into account in the second quarter of 2020 amount to $ 8.1 billion, including $ 7 billion on Canadian oil sands assets alone,” Total said in a report. press release, adding that this will increase its debt ratio. by 1.3%.

Total said it revised its oil price assumptions for the next few years given the fall in prices in 2020, setting the price of Brent at $ 35 per barrel in 2020, $ 40 in 2021, $ 50 in 2022 and $ 60. in 2023.

He maintained his longer-term analysis that the decline in investments in the oil sector since 2015, accentuated by the health and economic crisis of the coronavirus, would translate into insufficient global production capacities by 2025 and a rebound in prices. .

“Beyond 2030, given technological developments, particularly in the transport sector, Total anticipates that demand for oil will have peaked and that Brent prices should tend towards the long-term price of $ 50 per barrel. ”Total said. (Reporting by Bate Felix edited by David Goodman, Kirsten Donovan)

LEAVE A REPLY

Please enter your comment!
Please enter your name here