Total shares are trading higher Monday as the French oil company said there was little disruption to its refinery operations from the blockade by French farmers.
The group also announced the extension of the licence to develop the Tin Fouyé Tabankort gas and condensate field in Algeria.
By around 1300 BST, Total shares were 0.78% higher at €52.73. The stock is recovering a little from Friday’s decline.
French farmer blockade has limited impact
Total has said Monday that a blockade by French farmers has had little impact on its refineries. However, it did note there was some disruption to it’s distribution network across France, with road deliveries from four of Total’s refineries and six of its depots affected by the blockade.
Christine Lambert, the president of French farmers’ union, FNSEA said its members would, on Sunday, begin blockading French refineries and fuel depots of Total. The move is designed as a protest against the company’s decision to import palm oil for a biofuel refinery.
Lambert said that 13 sites would be affected by 9am on Monday morning.
The move comes despite Total’s reassurance that no more than 50% of raw material used in the refinery would be imported palm oil.
Total extends Algerian oil field contract
Also Monday, Total has shared the news that it, along with partners, Repsol, Sonatrach and Alnaf, have signed a 25-year extension contract for the development of the TFT field in Algeria. Once the agreement is approved, Total will have a 26.4% interest in the field.
“Today’s agreements mark a new milestone in the implementation of the comprehensive partnership agreement signed between Sonatrach and Total in April 2017 and strengthen the strategic cooperation between the two companies,” said Patrick Pouyanné, Chairman and CEO of Total.
“As a historical partner of the TFT field, Total will continue to provide the best of its technological expertise to keep developing the reserves of this gas field. This project is in line with the Group's strategy to grow its gas production in competitive conditions,“ he added.
Total said the deal will mean they can maintain oil production rates from the field of around the current 80,000 barrels per day for the next six years.