Total to cut exploration spending by 30 percent in 2015
(MENAFN) French oil company Total said it would cut spending on exploration by around 30 percent this year on the back of the drop in the price of oil, Arab News reported.
Total's CEO confirmed an earlier plans by the company to reduce investment spending from last year's figure of USD26 billion by USD2 billion to USD3 billion this year.
Total will increase the cuts in operations by USD400 million to bring the amount to USD1.2 billion, the CEO said, adding that these past two years, exploration spending was USD2.8 billion.
"A part of the savings will also come from the renegotiation of contracts with our suppliers as when oil falls, the prices of services and equipment falls," he said in a statement.
Total's CEO confirmed an earlier plans by the company to reduce investment spending from last year's figure of USD26 billion by USD2 billion to USD3 billion this year.
Total will increase the cuts in operations by USD400 million to bring the amount to USD1.2 billion, the CEO said, adding that these past two years, exploration spending was USD2.8 billion.
"A part of the savings will also come from the renegotiation of contracts with our suppliers as when oil falls, the prices of services and equipment falls," he said in a statement.
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