TotalEnergies Cannot Withdraw $2 Billion in Dividends from Russia

French company suffers costs due to sanctions.
01.11.2024
Origin source
The head of the French energy company TotalEnergies Patrick Pouyanne estimated the company's dividends from participation in joint projects with NOVATEK, which it cannot withdraw from Russia, at approximately $1.5–2 billion at the end of this year. He recalled that most of the funds are stored in NOVATEK accounts.

Mr. Pouyanne said during a teleconference with investors that the dividends that TotalEnergies received from its shareholding in NOVATEK (19.4%) amount to about $600 million per year. According to him, "most of them are stuck in NOVATEK accounts, not in type C accounts." "I would say that this volume represents about $1 billion, plus or minus," the head of TotalEnergies specified.

Patrick Pouyanné said that the company was unable to receive part of the dividends from the Yamal LNG project, in which the French company owns 20%. "They were about $500 million. I don't know when this will end," he said.

On the evening of October 31, TotalEnergies published a report according to which the energy company's net profit fell threefold compared to last year due to falling oil prices. According to the results of the third quarter, it fell from $6.68 billion to $2.29 billion.