Overview of Second Quarter and First Half 2012 results for Total

Overview of Second Quarter and First Half 2012 results for Total

Total (Paris:FP) (LSE:TTA) (NYSE:TOT): :

Net Income (Group share) of 1.6B€ in 2Q 2012 and 5.2 B€ in 1H12

Net-debt-to-equity ratio of 21.5% at June 30, 2012

Hydrocarbon production of 2,261 kboe/d in 2Q 2012

Interim dividend for 2Q12 increased by 3.5% to 0.59 € per share payable in December 2012.

Commenting on the results, Chairman and CEO Christophe de Margerie said :

‘Despite a decline in crude prices, the Group reported adjusted net income of 2.9 billion euros in the second quarter, a modest increase compared to the

same quarter last year. In contrast, Refining & Chemicals enjoyed an improved environment and was able to capitalize on higher refining margins in Europe.

In Upstream, the Group was impacted by incidents in the UK North Sea, Nigeria,and Yemen. Total responded to these events responsibly and transparently,

demonstrating the priority it places on safety and the environment. The second quarter was also marked by successes. The Group started-up production on

Islay, Bongkot South, and Halfaya. New offshore exploration licenses acquired in Uruguay, Kenya, and most recently Bulgaria add to Total’s portfolio of

high-potential acreage. Finally, by increasing its share of the Ichthys project in Australia, Total strengthened its already prominent role in

fast-growing Asian markets and solidified its position among the worldwide leaders in LNG.

Amid a challenging economic environment, it is with confidence that Total faces the second half of 2012, supported by the strength of its balance sheet

and the dedication of its teams which allow the Group to develop and execute high-value projects in each segment.’

Highlights since the beginning of the second quarter 2012

* Start-up of Bongkot South in Thailand, Islay in the UK and Halfaya in Iraq

* New gas and condensate discovery on the King Lear prospect in the Norwegian North Sea

* Launched new development phase of the Yucal Placer gas field in Venezuela and the development of Tempa Rossa in Italy

* Successful well intervention to stop the gas leak on the Elgin platform in the UK North Sea

* Increased stake from 24% to 30% in the Ichthys LNG project in Australia

* Acquired exploration licenses in Uruguay, Kenya and Bulgaria

* Total became operator of the Xerelete block in Brazil

* Issued notice of commerciality for the Absheron gas discovery in Azerbaijan.

Results for the second quarter 2012

Operating income from business segments

In the second quarter 2012, the Brent price averaged 108.3 $/b, a decrease of 7% compared to the second quarter 2011 and 9% compared to the first quarter

2012. The European refining margin indicator (ERMI) averaged 38.2 $/t, more than double compared to the second quarter 2011 and an increase of 83%

compared to the first quarter 2012. In the second quarter 2012, the environment for petrochemicals improved in Europe and the environment for

specialty chemicals remained satisfactory.

The euro-dollar exchange rate averaged 1.28 $/€ in the second quarter 2012,1.44 $/€ in the second quarter 2011 and 1.31 $/€ in the first quarter 2012.

Expressed in euros, the Brent price averaged 84.5 €/b, an increase of 4% compared to the second quarter 2011.

In this environment, the adjusted operating income^7 from the business segments was 5,793 M€, a decrease of 2% compared to the second quarter 2011. Expressed in dollars, the decrease was 13%.

The effective tax rate^8 for the business segments was 55.1% in the second quarter 2012 compared to 59.3% in the second quarter 2011, essentially due to

a decrease in the effective tax rate for the Upstream and the increased contribution of the downstream activities to the Group results.

Adjusted net operating income from the business segments was 3,124M€ compared to 2,901 M€ in the second quarter 2011, an increase of 8%.

Expressed in dollars, adjusted net operating income from the business segments was 4.0 billion dollars (B$), a decrease of 4% compared to the second quarter

2011. This decrease essentially resulted from the decrease in Upstream results, partially offset by the improved performance of Refining & Chemicals.

Net income (Group share)

Adjusted net income was 2,858 M€ in the second quarter 2012 compared to 2,794 M€ in the second quarter 2011, an increase of 2%. Expressed in dollars,

adjusted net income decreased by 9%.

Adjusted net income excludes the after-tax inventory effect, special items and the effect of changes in fair value:

* The after-tax inventory effect had a negative impact on net income of 959M€ in the second quarter 2012 and a negative impact of 74 M€ in the second

quarter 2011.

* Changes in fair value had a positive impact on net income of 9 M€ in the second quarter 2012 compared with a negative impact of 41 M€ in the second

quarter 2011.

* Special items had a negative impact on net income of 323 M€ in the second quarter 2012. As previously indicated in its Registration Document, Total

has been cooperating with the United States Securities and Exchange Commission (SEC) and the United States Department of Justice (DOJ) in

connection with an investigation concerning gas contracts awarded in Iran in the 1990s. Total, the SEC and the DOJ have conducted discussions to

resolve issues arising from the investigation. In light of recent progress in these discussions, Total has provisioned 316 M€ in its accounts in the

second quarter of 2012. Special items had a positive impact on net income of 47 M€ in the second quarter 2011.

Net income (Group share) was 1,585M€ compared to 2,726 M€ in the second quarter 2011.

The effective tax rate for the Group was 56.1% in the second quarter 2012.

Adjusted fully-diluted earnings per share, based on 2,264 million fully-diluted weighted-average shares, increased by 2% to €1.26 compared to

€1.24 in the second quarter 2011.

Expressed in dollars, adjusted fully-diluted earnings per share decreased by 9% to $1.62.

Investments – divestments

Investments, excluding acquisitions and including changes in non-current loans, were 4.4 B€ (5.6 B$) in the second quarter 2012 compared to 3.5 B€ (5.0

B$) in the second quarter 2011.

Acquisitions were 437M€ in the second quarter 2012, comprised essentially of the acquisition of an additional 1% of Novatek and the carry in the Utica

shale gas and condensates project in the US.

Asset sales in the second quarter 2012 were 834 M€, including mainly the sale of Sanofi shares.

Net investments were 4.0 B€ (5.1 B$) in the second quarter 2012 compared to 6.2 B€ (9.0 B$) in the second quarter 2011.

Cash flow

Cash flow from operations was 6,167 M€ in the second quarter 2012 compared to 5,064 M€ the second quarter 2011, essentially resulting from a change in

working capital requirements.

Adjusted cash flow from operations was 4,768 M€, an increase of 2% compared to the second quarter 2011. Expressed in dollars, adjusted cash flow

from operations was 6.1 B$, a decrease of 9%.

The Group’s net cash flow was a positive 2,183 M€ compared to a negative 1,168 M€ in the second quarter 2011. Expressed in dollars, the Group’s net

cash flow was a positive 2.8 B$ in the second quarter 2012 compared to a negative 1.7 B$ in the second quarter 2011, reflecting essentially a reduced

level of acquisitions.

First half 2012 results

– Operating income from business segments

Compared to the first half 2011, the average Brent price increased by 2% to 113.6 $/b. The European refining margin indicator (ERMI) averaged 29.5 $/t

compared to 20.4 $/t in the first half 2011.

The euro-dollar exchange rate averaged 1.30 $/€ compared to 1.40 $/€ in the first half 2011. Expressed in euros, the Brent price averaged 87.6 €/b, an

increase of 11% compared to the first half 2011.

In this environment, the adjusted operating income from the business segments was 12,572M€, an increase of 3% compared to the first half 2011^14.

The effective tax rate for the business segments was 57.8% in the first half 2012 compared to 56.9% in the first half 2011.

Adjusted net operating income from the business segments was 6,381 M€ compared to 6,264 M€ in the first half 2011, an increase of 2%.

Expressed in dollars, adjusted net operating income from the business segments decreased by 6%. This decrease essentially resulted from the decrease in

Upstream results driven by a less favorable production mix.

– Net income (Group share)

Adjusted net income was 5,932 M€ in the first half 2012, an increase of 1% compared to 5,898 M€ in the first half 2011. Expressed in dollars, adjusted

net income decreased by 7%.

Adjusted net income excludes the after-tax inventory effect, special items and the effect of changes in fair value:

* The after-tax inventory effect had a negative impact on net income of 369M€ in the first half 2012 and a positive impact of 872 M€ in the first

half 2011.

* Changes in fair value had a negative impact on net income of 11 M€ in the first half 2012 and a positive impact of 22 M€ in the first half 2011.

* Special items had a negative impact on net income of 305 M€ in the first half 2012 and a negative impact on net income of 120 M€ in the first half

2011.

Net income (Group share) was 5,247 M€ compared to 6,672 M€ in the first half 2011.

On June 30, 2012, there were 2,264 million fully-diluted shares compared to 2,258 on June 30, 2011.

Adjusted fully-diluted earnings per share, based on 2,264 million fully-diluted weighted-average shares, was €2.62, stable compared to the first

half 2011.

Expressed in dollars, adjusted fully-diluted earnings per share was $3.40 compared to $3.67 in the first half 2011, a decrease of 7%.

– Investments – divestments

Investments, excluding acquisitions and including changes in non-current loans, were 8.3 B€ (10.7 B$) in the first half 2012 compared to 6.3 B€ (8.8

B$) in the first half 2011.

Acquisitions were 2.3B€ (2.9 B$) in the first half 2012, comprised essentially of the acquisition of exploration and production interests in

Uganda, an additional 1.1% stake in Novatek, an exploration license in Angola, the minority interest in Fina Antwerp Olefins and the carry in the Utica shale

gas and condensates project in the US.

Asset sales in the first half 2012 were 2.3 B€ (3.0 B$), comprised essentially of sales of Sanofi shares, a stake in the Gassled pipeline in Norway, Upstream

assets in France, and stakes in Composites One in the US and Pec-Rhin in

France.

Net investments were 8.2 B€ (10.7 B$) in the first half 2012, compared to 11.3 B€ (15.8 B$) in the first half 2011.

– Cash flow

Cash flow from operations was 11,434 M€ in the first half 2012, an increase of 6% compared to the first half 2011, essentially resulting from a change in

working capital requirements.

Adjusted cash flow from operations was 9,863 M€, an increase of 3%.

Expressed in dollars, adjusted cash flow from operations ^ was 12.8 B$, a decrease of 5%.

The Group’s net cash flow was a positive 3,200 M€ compared to a negative 474 M€ in the first half 2011. Expressed in dollars, the Group’s net cash flow

was a positive 4.1 B$ in the first half 2012.

The net-debt-to-equity ratio was 21.5% on June 30, 2012, compared to 24.3% on June 30, 2011, in line with the Group’s target range.

Regulatory News:

http://www.total.com/MEDIAS/MEDIAS_INFOS/5902/EN/Total-2012-en-2Q-Results-120727-pr.pdf

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