By Alban Kacher and America Hernandez
PARIS (Reuters) -TotalEnergies expects fourth-quarter 2024 downstream results to have benefited from a slight increase in refining margins, the French oil major said in a trading update on Thursday.
Its European refining margin marker stood at $25.90 per metric ton in the fourth quarter of last year, up from $15.40 in the previous quarter.
Exploration and Production results in the fourth quarter are expected to be hurt by a $5 per barrel fall in oil prices, it noted.
Total’s adjusted net income has dropped for five straight quarters, hitting a three-year low at end-September reflecting a combination of upstream outages and a collapse in European refining margins.
BP, Shell and Exxon issued profit warnings this month, as lower seasonal natural gas demand drags on trading results.
Global demand for gasoline and diesel has also fallen short of expectations, while the launch of new oil refineries in Asia and Africa has resulted in oversupply.
The world’s top oil and gas companies saw profits decline throughout 2024 following record earnings in the previous two years, as global oil demand faltered and energy prices steadied after jumps triggered by Europe’s loss of Russian gas supply following Moscow’s invasion of Ukraine.
(Reporting by Alban Kacher and America Hernandez; editing by David Goodman and Jason Neely)
