Total SA, BP see Q1 profit fall due to low oil prices

Total SA production rose, profits slid

Total SA

Total SA net profit for Q1 was $2.66 billion.

French energy giant Total SA says its net profit slid 20 per cent in the first quarter despite a rise in production as slumping oil prices took their toll.

The company says Tuesday that net profit for the quarter was $2.66 billion, down from $3.34 billion a year earlier. That fall came despite a 10 per cent rise in hydrocarbon production to 2.4 million barrels a day.

CEO Patrick Pouyanne said Total is “demonstrating its resilience and profiting from its integrated model” in the face of a 50 per cent drop in the average Brent crude oil price over the last year.

Total said its Termokarstovoye gas field in Russia’s far north will start up during the second quarter. Four other fields are scheduled to start production in the second half.

BP

BP reports its quarterly profits are down to $2.6 billion.

At BP, the company says first-quarter profit fell 26 per cent in the wake of the sharp drop in oil prices.

The company says Tuesday that net income for the quarter was $2.6 billion, compared with $3.5 billion in the same period last year.

BP says the company is “rebalancing” its business to meet the challenges of sustained lower prices. The price of Brent crude, the benchmark for North Sea oil, averaged $54 a barrel in the first quarter, half the level of a year earlier.

CEO Robert Dudley says the results “reflect both this weaker environment and the actions we are taking in response.”

The Canadian Press

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