Registration Document 2005 - Total.com

2
South America
Business overview
Upstream - Exploration & Production
The Group’s South American production in 2005 averaged
247 kboe/d, up 16% over the 213 kboe/d produced in
2004 and up 26% over the 196 kboe/d produced in 2003.
South America represented about 10% of the Group’s total
production for 2005. Between 2003 and 2005, several projects
came on stream: Carina in Argentina in 2005 and Yucal Placer
in Venezuela in 2004.
Argentina
TOTAL’s average production in 2005 was 74 kboe/d, a 6% increase
from 70 kboe/d in 2004 and 16% higher than the 64 kboe/d
averaged in 2003.
TOTAL holds interests in the two main basins in Argentina:
Neuquen (San Roque and Aguada Pichana fields) and Tierra del
Fuego (Carina-Aries and Canadon-Alfa fields).
On the San Roque field (24.7%, operator), a medium-pressure
compression project launched in 2003 is in progress, with
commissioning planned for mid-2006. On the Aguada Pichana field
(27.3%, operator), the medium-pressure compression unit started
in 2003, and a low-pressure project was launched in 2005, with
start-up scheduled for 2007.
In the Austral basin, the Carina-Aries development project offshore
Tierra del Fuego, (37.5%, operator), which was reactivated in
2003, continued with completion of the construction of the offshore
infrastructures in 2004 and of the onshore infrastructures in 2005.
Drilling of the first wells on Carina was completed in 2005 and
drilling of three wells on Aries was completed in January 2006.
The Carina field came on stream in June 2005 and the Aries field
came on stream in January 2006.
The project to install a fourth medium-pressure compressor at the
Canadon-Alfa plant in the Austral basin (37.5%) was launched in
2005. This project was undertaken to adapt the injection capacity
of the San Martin gas pipeline for gas from Tierra del Fuego to the
flow from Carina-Aries.
In 2005,TOTAL acquired interests in two exploration blocks:
Las Tacanas (50.0%, operator) and Chasquivil (50.0%, operator).
The Group made a discovery on the Aguada Pichana permit
(Aguada Pichana Norte) in 2005.
Bolivia
TOTAL holds six permits in Bolivia: San Alberto and San Antonio,
both in production (15%), and four permits in the exploration or
appraisal phase: Blocks XX West (41%, operator), Aquio and Ipati
(80%, operator) and Rio Hondo (50%). TOTAL’s average production
in 2005 was 21 kboe/d, compared to 18 kboe/d in 2004 and
11 kboe/d in 2003.
26 TOTAL - Registration Document 2005
The San Alberto and San Antonio fields have been producing since
2001 and 2003 respectively. TOTAL is also a partner with Transierra
(11%), the operator of the Gasyrg gas pipeline which has been in
service since 2003, and owns 9% of the Rio Grande compression
station.
A successful exploration well, Incahuasi X1, was drilled on the Ipati
block in 2004.
In May 2005 a new law was enacted in Bolivia that changed the
fiscal and regulatory framework for oil and gas operations. TOTAL
has asked the Bolivian authorities to open negotiations in order
to maintain the economic terms and a regulatory framework
satisfactory to both parties.
Brazil
TOTAL increased its interest in the Curio discovery zone on Block
BC2 from 35% to 41.2% in 2005.
Colombia
TOTAL holds a 19% stake in the Cusiana and Cupiagua fields
where the Group’s share of production was 26 kboe/d in 2005
compared to 30 kboe/d in 2004 and 37 kboe/d in 2003. New
agreements were signed in 2005 for the sale of the gas from a new
180 Mcf/d treatment plant, which was started in 2003 and came
on line in September 2005. A gas-to-liquids (GTL) project using the
gas from Cusiana and Cupiagua is being studied and is the subject
of a Memorandum of Understanding signed in 2005 by TOTAL,
Ecopetrol and other partners.
A new exploration well on the Tangara permit (55%) was being
drilled at the end of 2005.
Trinidad & Tobago
TOTAL’s principal asset in Trinidad is the shallow offshore Grand
Angostura field (30%) which came on stream in January 2005.
Venezuela
The Group has interests in the Sincor (47%) and Yucal Placer
(69.5%) projects and in the Jusepin field (55%, operator). TOTAL’s
average production was 113 kb/d in 2005 compared to 95 kb/d in
2004 and 84 kboe/d in 2003, an increase of 35% since 2003.
At the end of 2004, the first major maintenance on Sincor’s
upgrader, which started operation in March 2002, increased its
treatment capacity to more than 200 kb/d of extra heavy oil.
Drilling operations resumed in October 2005.