Sector News

Total CEO sees oil price rising at end of 2016

February 12, 2016

(MarketWatch) – The oil price will likely be higher at the end of this year as an increase in demand will reduce the current production over-capacity, Total SA’s Chief Executive Patrick Pouyanné said on Thursday.

Oil demand’s elasticity to price means consumption will rise this year reducing the existing production over-capacity, said Mr. Pouyanné, who estimates over-capacity at around 2 million barrels of oil a day.

Oil companies’ investment cuts will eventually lead to a reduction of oil production, he added.

Mr. Pouyanné said it is impossible to guess the oil price in the short run.

Total, like other global oil companies, has been seriously hurt by an oil price that is roughly 70% below what it was in mid-2014.

The Paris-based company posted a $1.63 billion loss in the fourth quarter of last year.

By Inti Landauro

comments closed

Related News

August 23, 2019

The higher purpose of being a CEO

Borderless Leadership

LinkedIn Twitter Xing EmailWhen I left my second large company experience to become President of a small manufacturing company I did so driven by ego; I fancied the title. Soon […]

August 23, 2019

As Brexit nears, Britain’s drugs, devices and pricing regulators seek the exit

Life sciences

LinkedIn Twitter Xing EmailFirm details on exactly how the U.K. will regulate new medicines is still to be decided after it leaves the EU later this year (caveats on timing […]

August 23, 2019

The Simply Good Foods Company acquires Quest Nutrition for $1bn

Food & Drink

LinkedIn Twitter Xing EmailThe Simply Good Foods Company, the owner of Atkins-branded food products, has secured a deal to acquire protein snack maker Quest Nutrition for $1 billion. Quest, which […]

How can we help you?

We're easy to reach