Registration document 2007 - Total.com

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Western Europe
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Business overview
Downstream - Refining & Marketing
In Europe, TOTAL has a network of retail stations in France,
Belgium, Luxembourg, the Netherlands, Germany, the UK,
Portugal, Italy, and, through its 48.83% interest in CEPSA, Spain
and Portugal.
In France, the TOTAL-branded network has a diverse selection of
products (such as the Bonjour convenience stores) and strong
customer loyalty programs. As of December 31, 2006, the
network in France consisted of approximately 2,600 TOTALbranded
retail stations in France and nearly 300 Elf-branded retail
stations. Elf-branded retail stations offer quality fuels and basic
services at prices that are particularly competitive. TOTAL also
markets fuels at nearly 2,000 Élan-branded retail stations,
generally located in rural areas.
In Germany, a major network reorganization program was
completed in 2006, with the closing of 40 retail stations and the
development of non-fuel sales. In the UK, a program launched in
2003 to rationalize sites and increase non-fuel sales continued in
2006. Non-fuel sales increased following the opening of
approximately 20 Bonjour convenience stores. As of December
31, 2006, TOTAL had a network of 475 AS24-branded retail
stations in 20 European countries. This network, dedicated to
professional transporters, opened 43 new retail stations in 2006,
mainly in Central and Eastern Europe.
TOTAL is among the leaders in Europe for fuel-payment credit
cards, with approximately 3.5 million cards issued in 16 European
countries. In 2006, more than 4.7 Mm 3 of motor fuels were sold
and paid for using TOTAL’s credit card, compared to 4.5 Mm 3 in
2005 and 4.4 Mm 3 in 2004.
In 2006, TOTAL continued to expand its distribution in Europe of
two new high-performance fuels branded TOTAL EXCELLIUM 98
and TOTAL EXCELLIUM diesel. These new generation fuels
reduce fuel consumption and carbon dioxide emissions. With the
launch of the EXCELLIUM range, TOTAL has acquired a
significant share of the market for next generation fuels in
Europe.
In 2005, TOTAL began distributing an urea-based additive called
AdBlue intended for professional transporters in Europe. As of
December 31, 2006, more than 130 TOTAL and AS24 retail
stations were equipped to distribute bulk and conditioned urea.
Between now and 2009, TOTAL expects to progressively expand
its distribution of AdBlue to include a network of approximately
400 retail stations in 27 European countries.
Africa
TOTAL is present in more than 40 African countries and has
interests in seven refineries.
In 2005, TOTAL strengthened its position in Africa through the
acquisition of distribution affiliates in fourteen African countries
(Djibouti, Eritrea, Ethiopia, Ghana, Guinea Conakry, Liberia,
Malawi, Mauritius, Mozambique, Sierra Leone, Chad, Togo,
TOTAL – Registration Document 2006
Zambia and Zimbabwe). This acquisition, completed in 2006,
includes 500 retail stations and 29 terminals and depots with an
overall capacity of 380,000 m 3 . Through this agreement, TOTAL
has strengthened its presence in West Africa, consolidating its
positions in East Africa and becoming the largest marketer of
petroleum products in Africa.
Asia
TOTAL is present in nearly 20 Asian countries.
Building on their experience together at the Dalian refinery, in
2005 TOTAL and Sinochem decided to develop two retail station
network partnerships in China. A joint-venture agreement, signed
in March 2005, is designed to develop a network of 200 retail
stations in Beijing and in the area north of the city. At the end of
December 2006, 22 retail stations were operating. A second
joint-venture agreement for the creation of a network of 300 retail
stations in the provinces of Shanghai, Jiangsu and Zhejiang in
eastern China was signed in September 2005. The first retail
station opened in November 2006. These investments represent
a major step forward in TOTAL’s strategy of expanding its
petroleum products marketing operations in China.
In July 2006, TOTAL strengthened its positions in the Pacific area
through the acquisition of assets in Fiji, Samoa and Tonga. The
acquisition includes a network of retail stations, approximately ten
terminals and depots, as well as sales and distribution of fuel,
lubricants, aviation and marine petroleum products. TOTAL also
acquired assets in Cambodia in December 2006 to strengthen its
existing activities. Both acquisitions remain subject to any
necessary approval by the relevant authorities in each country.
In 2006, after the distribution of petroleum products was partially
opened to foreign companies in Indonesia, TOTAL decided to
develop a pilot network of five retail stations in Jakarta.
Other countries
TOTAL has activities in Turkey and in the Caribbean.
In 2004, TOTAL strengthened its positions in the Caribbean with
the creation of two new subsidiaries in Jamaica and Puerto Rico.
These new subsidiaries complement TOTAL’s existing activities in
Haiti, the French West Indies, Cuba and Costa Rica.
Specialties
TOTAL produces a wide range of refined petroleum products at
its refineries and other facilities. TOTAL is among the leading
companies in the European specialty products market,
particularly in the bitumen, jet fuel and lubricant markets.
TOTAL markets lubricants in more than 150 countries. In 2006,
TOTAL strengthened its positions in the lubricants market by
signing supply agreements with car manufacturers Nissan and
Honda. In September 2006, TOTAL entered into a joint-venture
agreement with Veolia Group (TOTAL 35%) to build a 120 kt