Total: Tragic Accident at South Korea’s Samsung Yard Delays the Martin Linge Project in Norway

PARIS--()--Regulatory News:

Following the tragic accident at the Samsung Heavy Industries (SHI) Geoje yard in South Korea on May 1st, 2017, Total (Paris:FP) (LSE:TTA) (NYSE:TOT) has assessed the status of some of its projects given that the yard is being used for construction works related to three of its major projects: Martin Linge (Norway), Egina (Nigeria), Ichthys (Australia).

« We are deeply saddened by the accident that occurred at the yard on May 1st. Our thoughts are first and foremost with the families and colleagues of the victims who lost their lives or suffered injuries. Total has dispatched its experts to join the ongoing investigation to identify the fundamental causes of the accident and implement the necessary preventive measures to avoid any reoccurrence of such accidents. All works at the yard were suspended for several days in order to give absolute priority to the investigation, provide psychological support to the workers and review lessons learned before restarting activities,” said Arnaud Breuillac, President, Exploration & Production at Total.

Following the accident, works related to the Martin Linge project were suspended until June 1st. As a result, the shipping of the Martin Linge modules from the South Korean yard to Norway will be delayed. The installation of the modules and lifting operations, which can only be carried out during summertime given weather conditions in the Norwegian North Sea, had initially been planned for summer 2017 but have now been postponed to summer 2018. Therefore, given the hook-up and commissioning operations, production start-up has been delayed to first half 2019. The Martin Linge oil and gas field is located in the North Sea approximately 180 kilometres west of Bergen, Norway. The project partners are Total E&P Norge (51% operator), Petoro (30%) and Statoil (19%).

Works on the Egina FPSO resumed following a two-week suspension and the impact on the project, which is expected to start up in second half 2018, will be limited. The Egina development is located on deep offshore Block OML 130 approximately 150 kilometers off the Nigerian coast. Project partners are Total (24% Operator), CNOOC (45%), Petrobras (16%) and Sapetro (15%).

Finally, the CPF (Central Processing Facilities) for the Ichthys project, operated by Inpex, had already departed the Geoje yard several days before the accident and is now installed on the field in offshore Australia. The start-up of Ichthys, in which Total holds 30% alongside Inpex (62.245%), has therefore not been impacted by the accident and is scheduled for the first quarter of 2018.

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About Total

Total is a global integrated energy producer and provider, a leading international oil and gas company, and a major player in solar energy with SunPower and Total Solar. Our 98,000 employees are committed to better energy that is safer, cleaner, more efficient, more innovative and accessible to as many people as possible. As a responsible corporate citizen, we focus on ensuring that our operations in more than 130 countries worldwide consistently deliver economic, social and environmental benefits. total.com

Cautionary note

This press release, from which no legal consequences may be drawn, is for information purposes only. The entities in which TOTAL S.A. directly or indirectly owns investments are separate legal entities. TOTAL S.A. has no liability for their acts or omissions. In this document, the terms “Total” and “Total Group” are sometimes used for convenience where general references are made to TOTAL S.A. and/or its subsidiaries. Likewise, the words “we”, “us” and “our” may also be used to refer to subsidiaries in general or to those who work for them.
This document may contain forward-looking information and statements that are based on a number of economic data and assumptions made in a given economic, competitive and regulatory environment. They may prove to be inaccurate in the future and are subject to a number of risk factors. Neither TOTAL S.A. nor any of its subsidiaries assumes any obligation to update publicly any forward-looking information or statement, objectives or trends contained in this document whether as a result of new information, future events or otherwise.

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Contacts

Total
Mike SANGSTER
Nicolas FUMEX
Kim HOUSEGO
Romain RICHEMONT
Tel. : + 44 (0)207 719 7962
Fax : + 44 (0)207 719 7959
or
Robert HAMMOND (U.S.)
Tel. : +1 713-483-5070
Fax : +1 713-483-5629

Contacts

Total
Mike SANGSTER
Nicolas FUMEX
Kim HOUSEGO
Romain RICHEMONT
Tel. : + 44 (0)207 719 7962
Fax : + 44 (0)207 719 7959
or
Robert HAMMOND (U.S.)
Tel. : +1 713-483-5070
Fax : +1 713-483-5629