PORT-GENTIL, Gabon--(BUSINESS WIRE)--Regulatory News:
In addition to the release of its 2019 Annual Financial Report, Total Gabon (Paris:EC) wishes to communicate on the actions implemented in the present context of the Covid-19 pandemic and the sharp drop of the oil price.
From the health perspective, Total Gabon has taken measures right from the beginning of the Covid-19 pandemic to protect its employees and people working on its sites. These measures have gradually been strengthened in accordance with the developments, the decisions taken by the Gabonese Republic and recommendations from institutions such as the World Health Organization.
Hence, to limit the risk of contagion, stringent access controls have been implemented on our industrial sites; routine operations have been reduced to a minimum; teleworking has been deployed for positions that do not require a physical presence in offices.
From an economic perspective, oil markets have been severely impacted by the lower demand resulting from the Covid-19 pandemic and the excessive offer. Consequently, Brent prices have dropped by 50% compared to the last quarter of 2019. Crude differential of the Mandji oil quality sold by Total Gabon has also deteriorated, following the trend that began at the end of 2019.
In this context, Total Gabon implements a specific saving plan, including substantial cuts on operating costs and Capex. On these basis, Total Gabon reminds that its strong financial situation combined with the absence of debt are important assets to face the current crisis.
Given the available cash and the current forecasts for 2020, the Company has decided to maintain the distribution of the dividend as recommended by the Board of Directors on March 25, 2020.
Faced with these challenges, Total Gabon’s priorities remain the health of people working on its sites, the safety of people and goods and the continuity of its activities.
Société anonyme incorporated in Gabon with a Board of Directors and share capital of $76,500,000
Headquarters: Boulevard Hourcq, Port-Gentil, BP 525, Gabonese Republic
Registered in Port-Gentil: 2000 B 00011