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Argus Media: Total reports lower profit, flags name change- Update

Total’s adjusted profit fell by 59% but it performed relatively well compared with its peer group, some of which are reeling from record losses, reports Argus Media.

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Rowena Edwards and Caroline Varin of global energy and commodity price reporting agency Argus Media on Tuesday (9 February) published a summary on Total’s published results for 2020 focusing on how it fared throughout the pandemic and its plans to move forward with the energy transition:

Added quotes from chief executive

Total saw its fourth-quarter profit and full-year earnings plummet on year as the Covid-19 pandemic lowered fuel demand and weighed on oil and gas prices. But the firm performed relatively well compared with its peer group, some of which are reeling from record losses.

Total — which used today’s results announcement to confirm plans to change its name to TotalEnergies — reported a profit of $891mn for the fourth-quarter, a marked improvement on the previous three months but 66pc lower than the same period of 2019. A hit from heavy impairment charges in the second quarter, mainly related to Canadian oil sands assets, drove the firm to an overall loss of $7.2bn for the full year, compared with a profit of $11.3bn in 2019.

Adjusted profit — which strips out inventory valuation effects and one-off items — dropped by 59pc on the year to $1.3bn in October-December and was down by 66pc to $4.1bn for the full year.

“We demonstrated that we could resist better than our competitors in 2020, a year that brought extreme volatility,” chief executive Patrick Pouyanne said today.

Total’s fourth-quarter oil and gas production fell by 9pc from a year earlier to 2.84mn b/d of oil equivalent (boe/d), driven by Opec+ quotas, voluntary reductions in Canada, and maintenance and unplanned outages, notably in Norway. Full-year output was 2.87mn boe/d, 5pc lower than 2019. The company expects 2021 production to be stable compared with last year, benefitting from the recovery in Libyan production, and it expects LNG sales to rise by 10pc because of the ramp-up of the 15mn t/yr Cameron LNG facility in the US.

In the downstream, Total’s fourth-quarter refining throughput fell to 1.3mn b/d and the utilisation rate dropped to 60pc, compared with a respective 1.5mn b/d and 71pc a year earlier. Refining margins “remained depressed, still affected by low demand and high inventories,” Pouyanne said.

Total reiterated its plans to transform itself over the next decade, reducing its reliance on oil and focusing its energy production growth on LNG and renewables and electricity. It expects oil products to fall to 30pc of sales over the next decade from 55pc now. The company will propose changing its name to TotalEnergies at its annual general meeting on 28 May to reflect the transformation.

Total will allocate over 20pc of this year’s $12bn net investment budget — which includes organic capital expenditure (capex) and net acquisition spending — to renewables and electricity. The 2021 budget is almost $1bn lower than 2020 spending, when investment was reduced by a quarter from the previous year to tackle the impact of the Covid-19 pandemic.

If oil prices rise this year, Total’s priority will be to use the extra cash flow to reduce debt, but it remains open to raising investment levels as well, Pouyanne said. “If Total increases investment, there will be two uses. More investments in renewables — we could imagine 20pc [of the budget] could become 25pc — and we could restart drilling that we stopped last year,” he said.

The firm said it is maintaining its priorities for cash flow allocation, which include investing in profitable projects to implement its transformation into a broad energy company, supporting the dividend and maintaining a strong balance sheet. It is keeping its quarterly dividend flat at €0.66/share, unchanged from the previous three quarters.

 

Photo credit and source: Argus Media
Published: 11 February, 2021

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Alternative Fuels

Yang Ming orders six LNG dual-fuel, ammonia-ready containerships from Hanwha Ocean

Each of the six new vessels will have a capacity of up to 13,650 TEU and feature LNG dual-fuel propulsion and Ammonia Fuel Ready specifications.

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Yang Ming orders six LNG dual-fuel, ammonia-ready containerships from Hanwha Ocean

Taiwanese shipping firm Yang Ming Marine Transport Corporation (Yang Ming) and South Korean shipbuilder Hanwha Ocean on Wednesday (2 September) signed a shipbuilding contract for six 13,000 TEU class LNG dual-fuel container vessels. 

The contract was signed by Dr. Chuck Tsai, Chairman of Yang Ming, and Mr. Charles Kim, CEO of Hanwha Ocean. The vessels are scheduled for delivery between 2028 and 2029. 

They will complement Yang Ming’s existing fleet of 10,000+ TEU vessels and serve as key vessels on East-West services, with deployment flexibility across trade lanes connecting Asia with the East and West Coasts of North America, South America, and the Mediterranean. 

Each of the six new vessels will have a capacity of up to 13,650 TEU and feature LNG dual-fuel propulsion and Ammonia Fuel Ready specifications.

“As Yang Ming transitions toward net-zero emissions, LNG provides a relatively mature and economically viable alternative fuel solution, capable of reducing greenhouse gas emissions by approximately 20%,” the company said. 

“At the same time, ammonia can serve as a carbon-free fuel by utilising converted LNG storage facilities, while offering relatively lower conversion costs and comparatively well-developed supply chains and infrastructure. The Ammonia Fuel Ready design will therefore provide Yang Ming with greater flexibility in responding to increasingly stringent international regulations on greenhouse gas emissions.”

In addition, the vessels will be equipped with Type B LNG fuel tanks with a design pressure of 1.0 bar to enhance the safety and efficiency of LNG operations, together with a range of energy-saving technologies, including Wind Shields, Rudder Bulbs, Pre-Swirl Stators, and Shore Power Systems. Smart ship technologies and cybersecurity protection features will also be incorporated to enhance operational efficiency, safety, and reliability while effectively reducing fuel consumption and greenhouse gas emissions.

Deliveries under Yang Ming’s next-generation fleet optimization plan commenced earlier this year. By 2030, a total of 24 new vessels are expected to enter service. 

This includes 18 LNG dual-fuel vessels—comprising five 15,500 TEU, seven 16,000 TEU, and the six 13,000 TEU vessels under this contract—alongside six 8,000 TEU methanol dual-fuel-ready ships. 

 

Photo credit: Yang Ming Marine Transport
Published: 4 September, 2026

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Alternative Fuels

LR, China’s MARIC unveil tanker concept ready for three future bunker fuels

Both secured AiP for a new 114,000 DWT product and crude oil tanker designed to accommodate future conversion to LNG, methanol or ammonia.

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LR, China’s MARIC unveil tanker concept ready for three future bunker fuels

Lloyd’s Register (LR) and the Marine Design and Research Institute of China (MARIC) on Thursday (3 September) have secured Approval in Principle (AiP) for a new 114,000 DWT product and crude oil tanker designed to accommodate future conversion to LNG, methanol or ammonia.

Announced at SMM 2026, the concept addresses one of the biggest investment challenges facing shipping today: the need to develop vessels and capabilities that can support a range of alternative fuel options and pathways as technologies, infrastructure and regulations evolve.

While LNG is already a mature fuel pathway, methanol and ammonia remain at an earlier stage of development, with questions around global fuel availability, infrastructure development, economics and long-term adoption.

The 114,000 DWT tanker concept has been designed as a product and crude oil carrier that can accommodate future conversion to LNG, methanol or ammonia as technologies, regulations and fuel supply chains mature. By incorporating conversion readiness at the design stage, the concept aims to reduce future retrofit complexity and provide owners with greater confidence when planning long-term fleet investments.

The design concept was reviewed against LR’s July 2026 class rules and regulations, including requirements relating to ships using gases and other low-flashpoint fuels, alongside relevant IACS Common Structural Rules for oil tankers. Final classification and statutory approval remain subject to full compliance with all applicable rules and regulations.

Theo Kourmpelis, Global Business Director for Tankers, Lloyd’s Register, said: “Shipowners are being asked to make major investment decisions today despite continued uncertainty around which fuels will dominate in the decades ahead. Alternative fuel solutions each offer potential pathways to compliance, but fuel infrastructure, regulation and economics continue to evolve at different speeds around the world.

“Designs that preserve flexibility will be critical in helping owners manage risk while preparing for multiple future scenarios.”

Si Nan, Marine & Offshore Marketing Department Vice Director, MARIC, said: “As the industry explores different decarbonisation pathways, shipowners need vessel designs that can adapt alongside technological and regulatory developments. This concept was developed specifically to provide greater fuel flexibility and long-term resilience, allowing owners to respond to changing market requirements without being locked into a single fuel strategy.

“Receiving Approval in Principle from Lloyd’s Register is an important milestone that validates the design concept and supports its future development.”

 

Photo credit: Lloyd’s Register
Published: 4 September, 2026

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Alternative Fuels

DNV: Alternative-fuelled vessel orders hit highest monthly level since October 2024

LNG-fuelled vessels accounted for the vast majority of August activity while the strong summer performance marked a significant acceleration in ordering activity after a relatively slow start to the year.

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DNV: Alternative-fuelled vessel orders hit highest monthly level since October 2024

Latest data from classification society DNV’s Alternative Fuels Insight (AFI) platform alternative-fuelled vessel ordering was strong in August, with 52 new vessels added to the platform.

This is the highest monthly total since October 2024 and follows another active month in July, when 47 vessels were added to the database.

LNG-fuelled vessels accounted for the vast majority of August activity, with 46 orders recorded. The container segment led the way with 30 orders, while the car carrier segment contributed a further 12 LNG-fuelled vessels. In addition, four ethanol-fuelled bulk carriers and two hydrogen-powered bulk carriers were added during the month, as well as one LNG bunker vessel.

The strong summer performance marked a significant acceleration in ordering activity after a relatively slow start to the year. In total, 242 alternative-fuelled vessel orders have been placed in the first eight months of 2026, representing a 27% increase compared with the same period in 2025.

LNG remains the dominant fuel choice, accounting for 63% of all alternative-fuelled vessel orders registered so far this year. Container vessels represent the largest share of these LNG orders (59%), followed by car carriers (30%).

Jason Stefanatos, Global Decarbonization Director at DNV Maritime, said: “The past two months have been particularly strong for alternative-fuelled vessel ordering, with August recording the highest monthly total we’ve seen since October 2024. This has helped lift year-to-date orders to a level well above the same period last year.

“LNG remains the leading fuel choice, driven largely by activity in the container and car carrier segments. These sectors have been among the earliest adopters of alternative fuels, supported by predictable liner operations and increasing demand from cargo owners to reduce emissions across supply chains. 

“For many owners, LNG offers a combination of emissions reductions, fuel availability and future flexibility while the longer-term fuel landscape continues to evolve. 

“At the same time, the latest figures include orders for ethanol- and hydrogen-fuelled vessels, highlighting that owners continue to explore a range of decarbonization pathways. Different segments are making different fuel choices, but the overall level of activity demonstrates continued investment in lower-emission shipping.”

Screenshot 2026 09 04 at 12.29.26 PM Screenshot 2026 09 04 at 12.29.36 PM

 

Photo credit: DNV
Published: 4 September, 2026

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