May 2018
Total refining and oil products summary
Executive summary
SWOT analysis
Strengths
Fully integrated refining and marketing positions in
France, Germany and Benelux
Leaner European position following divestments in Italy
and Turkey
Concentration around key regional supply points
supports a more efficient operating model
Strong lubricants brand and business, high margin
product which receives continued investment
Opportunities
Further consolidation of activities through the disposal of
non-core assets such as the Lindsey Oil refinery in the
UK
Diversification of convenience offerings and alternative
fuels/technologies. Potential to expand its electric
charging network beyond France
Continued expansion in high growth regions outside of
Europe, building on recent entry into Mexico and
strategic acquisition in Eastern Africa
Weaknesses
High exposure to mature market in France
Lower average throughputs than its peer group in most
European fuel retail markets
Large gasoline surplus increases exposure to the
volatile and competitive export market
Lindsey is a standalone refinery with minimal fuels
marketing activities in the UK. Difficulty in the past
finding a buyer for this asset
Threats
Increasing threat from discount retailers such as
hypermarkets and unmanned outlets
Growth and consolidation among the independent
retailers, penetrating Total’s European markets
Faster than expected electrification of the vehicle fleet
could accelerate the decline in road fuel demand
Total refining and oil products summary

Portfolio summary
European refining and marketing operations
0° 15°E 30°E 45°E

Key
70°N

70°N
Refinery: > 20% Market Share
total CDU capacity (kb/sd) 10% - 20% Market Share
5% - 10% Market Share
Speciality Refinery
< 5% Market Share
60°N

60°N
Capacity of Lindsey refinery
reduced by half in 2016

109
Sold minority stake in
Schwedt refinery in 2015
Completed modernisation of 166
Antwerp refinery in 2017 338
227
50°N

50°N
253

101

219
109 Italian JV, TotalErg
disbanded in 2018 with
refining and fuels marketing
assets sold to API. Retains
La Mede refinery ended crude
lubricants business only
processing in 2016 and has been
converted to a bio-refinery Divested fuels marketing
40°N

40°N

business in Turkey in
2016, lubricants and LPG
activities remain
90

0° 15°E 30°E Source: Wood Mackenzie

45°E

Refining

Refining business overview

Despite a decline in CDU capacity in recent years, Total remains one of the largest refiners in Europe. Total has reduced its
European refining capacity by 20% since 2010 through divestments and capacity reductions. At 1,447 kb/d, Europe accounts for
72% of Total's global refining capacity.

Company report - 31 May 2018 Page 2 of 14

Total refining and oil products summary

European refining asset summary

CDU capacity
Country Refinery name Company share (%) Refinery operator Complexity
(kb/sd)
Belgium Antwerp 100 Total 338 7.93
France Donges 100 Total 219 5.76
France Feyzin 100 Total 109 7.32
France Gonfreville 100 Total 253 11.8
France Grandpuits 100 Total 101 7.08
Germany Leuna 100 Total 227 7.04
Netherlands Zeeland 55 Total 166 9.28
UK Lindsey 100 Lindsey Oil Refinery 109 10.63
Source: Wood Mackenzie

Nearly half of Total's refining capacity is concentrated in its home market, France. The four sites account for more than half of
the national crude distillation capacity.

Total’s European refineries are a mix in terms of size and complexity. Some, such as Gonfreville and Antwerp, have large
sophisticated configurations which enable a high degree of upgrading to produce high value transport fuels.

Since merging its Refining and Chemicals business segments into a single unit, Total has focussed on the development of
integrated refining and petrochemical complexes within its portfolio. Its main integrated hubs in Europe are located at Antwerp
and Gonfreville with a further three sites in France at Carling, Feyzin and Lavéra. Total's petrochemical production capacity in
Europe stood at over 10Mt per year at end-2017, which amounts to 43% of its global capacity.

Refining M&A activity

Total sold its 16.67% share in the Schwedt refinery in northern Germany in 2015. This stake was acquired by Rosneft which
already held an 18.75% share in the facility.

In 2018, the TotalErg joint venture was disbanded with the refining and marketing assets being sold to Anonima Petroli Italiana
(API). This included the sale of Total's 13% stake in the Trecate refinery.

There has already been a failed attempt to sell the Lindsey refinery in the UK and it is likely that Total will continue to look to
dispose of this non-core standalone asset. The situation has become increasingly precarious since it sold the majority of its fuels
marketing businesses in the UK, removing the support of secure product offtake, although this has been somewhat alleviated for
the time being by the recent capacity reduction.

See Mergers & Acquisitions section for more details.

Refining strategy and projects

Total completed an extensive €1 billion modernisation project at the Antwerp refinery in late 2017. The project, started in 2013,
saw the addition of new conversion units as demand shifts towards lighter oil products. A deasphalting unit and a hydrocracker
were added to increase the production of cleaner products and reduce the high-sulphur heavy fuel oil yield. The second part of
the project has increased steam cracker flexibility so to maximise the processing of low cost advantaged feedstock.

As part of a company-wide US$10 billion divestment programme, Total reduced its overall CDU refining capacity in Europe by
around 20% from 2011 to 2016. The capacity reductions also had a high-grading effect, improving the relative complexity of
Total’s overall refining system. Cost reduction across its entire portfolio – including refining – remains a major theme in Total’s

Company report - 31 May 2018 Page 3 of 14

Total refining and oil products summary

overall strategy out to 2022. Refining investments have been targeted to bring the company’s capacity in line with changing
regional oil product demand, including upgrading units and biofuel production.

The company also invested €275 million to convert La Mède refinery in southern France to one of largest bio-refineries in
Europe, with an anticipated capacity of 500,000 tonnes of HVO per year, as part of its commitment to meeting growing biofuel
demand across Europe. The site stopped processing crude at the end of 2016 and is scheduled to begin biofuel production mid-
2018. The conversion has also helped alleviate somewhat the gasoline surplus by reducing capacity which is line with it's
objectives.

Total decreased the capacity of the Lindsey refinery in the UK by half in 2016 in response to weak fuel demand across Europe
and increasing competition in export markets. The scaling down of operations was achieved by shutting down of one of two
crude distillation units.

Total is planning to invest €400 million in its Donges refinery near Nantes to install intermediate feedstock desulphurisation and
hydrogen production units with a view for completion by 2019. The company plans to install a third hydrocracker at its Zeeland
refinery, which it owns with Lukoil, by 2020.

Marketing

Marketing business overview

Total's European fuels marketing operations is strongly focused on a number of key markets in Western Europe including
France, Germany and Benelux. The company also has a very small fuels marketing presence in Central and Eastern Europe
consisting of 23 sites in Poland. In recent years the company has divested the majority of its non-core downstream assets
across Europe, including the sale of its Turkish operations in 2015 and the disbanding of TotalErg, its Italian joint venture in
2018.

Its strongest retail position continues to lie in its home market, France, where it is the market leader. This position is echoed in
Belgium where it maintains its position as the leading fuel retailer and is in the top five in both Germany and the Netherlands.
Over the past couple of years, oil product sales have generally been stable in these markets despite increasing competition, in
particular from discount retailers and hypermarkets.

The fuels marketing side of the business is supported by Total's strong vertical integration in Western Europe, with local refining
capacity in all its core markets. Total also has a swap agreement with PKN ORLEN in which it supplies the Polish refiner and
marketer in Germany in turn for receiving oil products for its operations in Poland.

The company has a strong focus on high-margin lubricants production and sales and has retained these businesses in Turkey
and Italy after divesting its other fuels marketing operations. In 2017, it resumed distribution in Portugal and rolled out a network
of Speedy service points in Spain.

Total also services the commercial market via its AS24 network which is dedicated to heavy duty vehicles. As of end-2016 the
network amounted to 801 stations.

Company report - 31 May 2018 Page 4 of 14

Total refining and oil products summary

European fuels retailing asset summary - end 2017

Number of Service Network Effectiveness

Country Retail Market Share %
Stations Ratio
Belgium 529 17.9 1.05
France 3548 22.4 0.67
Germany 1194 9.5 1.14
Italy* 2519 9.5 0.76
Luxembourg 39 13.7 0.81
Netherlands 342 9.5 1.12
Poland 23 NA NA
Source: WoodMackenzie

*Divested in 2018
For further analysis see the Market Structure section of the relevant country reports: Belgium, France, Germany, Italy,
Luxembourg, Netherlands, Poland

European retail network by country

14,000

12,000

10,000

8,000

6,000

4,000

2,000

0
2010 2011 2012 2013 2014 2015 2016 2017

France Italy Germany Benelux Turkey Poland Spain Portugal UK

Source: Wood Mackenzie

Marketing M&A activity

The Turkish sale saw its service station network plus commercial sales, supply and logistics assets sold for €325 after its
operations were deemed unprofitable due to its dwindling market share. It has maintained a presence in the country by retaining
its LPG and lubricants operations, which includes a blending plant in Menemen.

M&A activity over the past five years focussed on the rationalisation of assets, including those in Turkey in 2015 and Italy in
2018, and consolidating its position in its strongest markets: France, Germany and Benelux.

Company report - 31 May 2018 Page 5 of 14

Total refining and oil products summary

The recent disbanding of the TotalErg joint venture saw over 2,600 service stations, a logistics hub in Rome and a stake in the
Trecate refinery sold to API for an undisclosed sum. Total bought Erg's 51% share in the joint venture's lubricants business and
plans to maintain a presence in the local truck and aircraft refuelling markets.

See Mergers & Acquisitions section for more details.

Marketing strategy and projects

Optimising its current activities and adapting to remain competitive in its core Western European fuels marketing locations
including France, Germany and Benelux. In France, it has actively responded to the hypermarkets discounted fuels strategy by
introducing the Total access network, offering premium fuels at a lower cost.

The key aspects of Total’s European fuels marketing strategy are:

The firm has adopted a care and maintain approach to its European downstream activities as the majority of its refining and
marketing investments are focused on high growth regions including Africa, Middle East and Asia. Total is the leading fuel
retailer in Africa with over 4,500 service stations and an average retail market share of 18%. Its position has been strengthened
in the region by the recent acquisition of GAPCO's East African assets. In 2017, Total also took advantage of the liberalisation
of the Mexican energy market and entered into a partnership with a local retailer GASORED, this will see nearly 250 service
stations rebranded to Total.

As demand for traditional retail fuels declines across the region, Total has been increasingly developing and innovating products
and services focused on new energies and technology. This includes the installation of electric charging networks across its
European network and the rolling out of hydrogen stations in Germany under the H2 Mobility joint venture. It also acquired
Pitpoint in Netherlands in 2017 as part of its plan to expand its natural gas vehicle fuel offering with a view to deploying Pitpoint
technology at more than 300 sites by 2022.

On the commercial fuel side, the firm leverages its strong fuel card payment system to attract and retain business.

Company report - 31 May 2018 Page 6 of 14

Total refining and oil products summary

Refining and oil products

Supply/demand

Total company position

35

30

25

20

15
Mt

10 D
C B
5

0 A

-5
Gasoline Middle Fuel oil
distillate

Production Sales Balance

Source: Wood Mackenzie

Total's overall supply/ demand position in Europe is roughly balanced in fuel oil, a slight deficit in middle distillates and a surplus
in gasoline. Recent restructuring has helped to make the company's overall position more balanced. Part of its large gasoline
surplus is sold on a wholesale basis to supply domestic third party retail groups, but like most other European refiners Total
remains reliant on exports into the Atlantic Basin.

Company report - 31 May 2018 Page 7 of 14

Total refining and oil products summary

Supply Area A - France

Total operates four refineries in France with a total
20 CDU capacity of 682 kb/sd. The company reduced its
gasoline surplus in recent years, most of which supplies
15 the high sales volume requirements of the
hypermarkets in France.

10 Despite being the country’s largest refiner, Total still

has a middle distillate deficit in France.
Mt

-5
Gasoline Middle distillate Fuel oil

Production Sales Balance

Source: Wood Mackenzie

Supply Area B - Germany

Following the sale of its stake in the Schwedt refinery,
8 Total still retains a considerable refining presence in
Eastern Germany through its wholly-owned Leuna
6 asset. It is therefore one of the main suppliers to other
oil companies in this region.
4
The company does not have a supply presence in
western Germany other than a small bitumen refinery,
2
Mt

Brunsbüttel.

-2

-4
Gasoline Middle distillate Fuel oil

Production Sales Balance

Source: Wood Mackenzie

Company report - 31 May 2018 Page 8 of 14

Total refining and oil products summary

Supply Area C - Benelux

Total operates Zeeland and Antwerp refineries as the
10 Total Benelux refining/petrochemical hub and their
output has been compared with the company's
8 marketing sales in Belgium, the Netherlands and
Luxembourg.
6
Unlike the other areas, there is a middle distillate
surplus as well as a gasoline surplus, much of which is
4
Mt

used to supply the company's marketing business in

western Germany or is exported.
2

-2
Gasoline Middle distillate Fuel oil

Production Sales Balance

Source: Wood Mackenzie

Supply Area D - UK
Following the sale of its retail and domestic heating oil
2.5 businesses in 2011, Lindsey Oil Refinery at Immingham
on the east coast is Total's only refining asset in the
UK. After a failed attempt to sell it, the company
2.0
continues to operate the facility but has halved its CDU
capacity.
1.5
The company's remaining UK fuels marketing activities
Mt

are the aviation, industrial gasoil and fuel oil

1.0 businesses. This leaves a large surplus in gasoline

0.5

0.0
Gasoline Middle distillate Fuel oil

Production Sales Balance

Source: Wood Mackenzie

Company report - 31 May 2018 Page 9 of 14

Total refining and oil products summary

Mergers and acquisitions

Recent European acquisition/divestment

Company/Asset Country Date Acquisition/ Business Comments

Divestment Sector
TotalErg Italy 2018 Divestment R&M Total and Erg agreed to sell their joint
venture assets in Italy, including the
Trecate refinery and close to 2,600 service
stations, to API.
Demirören/fuels Turkey 2016 Divestment M Total agreed to sell its retail network and
marketing commercial fuels business in Turkey to
Demirören for €325 million. Total will retain
its LPG and lubricant businesses, including
its blending plant in Menemen.
Rosneft / Schwedt Germany 2015 Divestment R Total agreed to sell its 16.67% stake in the
refinery stake Schwedt refinery in Germany to Rosneft for
US$ 300 million. The latter's shareholding
increases to 35.42% when the deal gets
regulatory approval.
Varo Energy / storage Switzerland 2014 Divestment M The transaction includes the storage facility
assets and distribution at Eclépens, wholesale and commercial
business gasoline and diesel business, the heating
oil distribution business which covers
Geneva and Vaud, and two retail stations
in Eclépens and Cheseaux.
UGI / LPG distribution France 2014 Divestment M In July, UGI Corp and Total reached an
agreement for the sale of Totalgaz LPG
distribution business in France for around
€400-450 million. The competition
authority approved the transaction but
required divestment of some import and
storage assets. UGI agreed to divest part
of its stakes in Norgal (Normandy) and
Cobogal (Bordeaux) depots.
Repsol Butano / LPG France 2012 Acquisition M In January 2012, Totalgaz reached an
distribution agreement with Repsol for the acquisition
of its LPG business in France for €14.5
million
Rontec Investments United 2011 Divestment M Announced in June and finalised in
LLP/ retail stations & Kingdom October 2011, Total sold most of its
domestic gasoil marketing assets in the UK, the Channel
business Islands and the Isle of Man for €424 million
(£368 million). The deal includes 810
service stations, the ‘Total Butler' heating
oil distribution business with the associated
infrastructure.

Company report - 31 May 2018 Page 10 of 14

Total refining and oil products summary

Aygaz / Turkey 2011 Divestment M The deal was announced in late 2010 and
Bottled LPG business completed in August 2011. Turkey's
leading LPG distribution company acquires
Total's bottled LPG business in the country
for TL 36 million (c. € 14 million)
IPIC / CEPSA stake Spain 2011 Divestment R&M In February 2011, agreed to sell its 48.83%
stake in CEPSA to IPIC (International
Petroleum Investment Company) for
€3.7bn. Following the deal, the Abu Dhabi
based investment fund, which already held
47.06%, launched a public takeover bid to
takeover the remaining minority shares.
The deal was closed at the end of July
2011.
Colas / SRD (Dunkirk) France 2010 Divestment R In July 2010, Total closed the sale of it
refinery 40% stake in the Dunkirk specialist
bitumen and base oils plant to French
bitumen producer Colas.
ERG / Italian refining & Italy 2010 Joint Venture R&M In January 2010, Total and ERG signed an
Marketing agreement to merge their refining and
marketing activities in Italy. The new
TotalERG jv (in which ERG holds 51%
interest and Total 49%) will control the
Rome refinery, 25.9% of the Trecate
refinery and a combined service station
network of some 3,430 outlets. ERG's
shareholding in the ISAB plant and its
marketing business in Sicily are excluded
from the jv. The EU commission gave
regulatory approval in May 2010.
Rubis / retail stations& France 2009 Divestment M Acquisition by Rubis of 34 service stations
storage Corsica located in Corsica as well as half of its
shareholding in DPLC (Depots Petroliers
de la Corse) which operates two storage
terminals in Ajaccio and Bastia. Rubis also
acquires the entire Shell network in
Corsica.
Shell / retail stations France 2009 Acquisition M Agreement signed in July 2009 for the
acquisition of Shell's 37 CODO stations in
France. The deal received approval from
competition authorities in October 2009.
BP / bitumen Poland 2008 Acquisition M Acquisition by Total of BP's bitumen
marketing business in Poland, including a production
plant and a storage facility located in
Scinawie.

Company report - 31 May 2018 Page 11 of 14

Total refining and oil products summary

Rubis / LPG Spain 2008 Divestment M Acquisition by Rubis of Totalgaz Espana,

distribution Total's LPG marketing business in Spain,
based around the 500 m3 storage facility
at Puig-Reig in Catalunya. Financial
details were not disclosed.
CEPSA / Portuguese Portugal 2008 Divestment M Agreement for CEPSA to acquire Total's
distribution assets oil distribution activities in Portugal
including 141 retail s/stations, and all its
lubes and oil product marketing activities.
Operated by a new company managed by
CEPSA, of which Total is the major
shareholder. The service stations will be
co-branded CEPSA-Total and lubricants
marketed under the Total, CEPSA and Elf
brands.
Banco Santander Spain 2006 Acquisition R&M Settlement of the ongoing shareholding
Central Hispano/ Total dispute between Total and Banco
- CEPSA Santander of Spain concerning CEPSA
following arbitration. Banco Santander
Central Hispano transferred to Total a
4.35% interest in CEPSA, so increasing
Total's shareholding from 44.5%* to
48.85%, without requiring Total to make a
full scale takeover bid for CEPSA.
British Benzol/ UK 2005 Acquisition M Acquisition by Total of the assets of former
independent fuel UK independent oil distributor British
distributor Benzol which went into administration in
August. Includes over 15 depots and 50
road delivery tankers operating from Port
Talbot in Wales and Taunton in Somerset
along the M4 corridor into Kent and East
Anglia. The British Benzol operation has
been absorbed into Total Butler, the wholly
owned commercial fuels distributor arm of
Total in the UK.
Shell/Total/ERG - Italy / 2005 Asset Swap / R Memorandum of understanding signed
Rome/ Reichstett France Part Sale between Shell and Total in 2005 relating to
refineries a share swap, with Shell exchanging 20%
interest in Rome refinery for Total's 18%
interest in Reichstett refinery in France.
The exchange was completed by the end
of 2005. As part of the final agreement,
ERG exercised its pre-emptive rights to
increase its shareholding in the Rome
refinery from 22.5% to 28.1%. Ownership
of Reichstett refinery is now Shell 83%, BP
17%. Ownership of the Rome refinery is
now Total 71.9%, ERG 28.1%. It is
believed that the final agreement involved
both a monetary transaction and a swap of
shares.

Company report - 31 May 2018 Page 12 of 14

Total refining and oil products summary

Total/Lubrifin - Romania 2005 Joint Venture M Establishment by Total and Lubrifin, a

lubricants joint venture major producer and distributor of lubricants
and greases in Romania, of a joint venture
company Total Lubrifin, 51% owned by
Total and 49% by Lubrifin, to market a
complete range of lubricants and greases
into the automotive and industrial sectors
in Romania. The JV is to build a new
grease plant adjacent to the existing
Lubrifin blending plant near Brasov.
Lubrifin is number two in the Romanian
lubricants sector with a 10% market share
and leader in the greases segment with a
65% share.
Rubis / Vitogaz LPG France 2005 Divestment M Acquisition by Rubis of Total's minority
34% stake in French LPG distribution
company Vitogaz for €26.5 million.
Vitogaz thereby becomes a wholly owned
subsidiary of Rubis
Total/Shell & DEA - Germany / 2003 Asset Swap M Acquisition by Total of 133 'Shell' and
s/stations France/ 'DEA' branded s/stations in Germany in
Hungary/ exchange for the sale to Shell of 7
Czech s/stations in France together with 70
Republic s/stations in Hungary and 33 s/stations in
the Czech Republic. Part of Shell's
compliance with regulatory requirements
associated with the DEA acquisition in
Germany. Represents Total's withdrawal
from the Hungarian and Czech retail fuels
markets and enables Shell to boost its
position in these countries.
TotalFinaElf/Tamoil - Switzerland 2002 Divestment M Sale by TotalFinaElf of its 177 Swiss
s/stations s/stations operating under the ‘Elf' and
‘POCO' brands to Tamoil. The stations
account for under 3% of the Swiss retail
fuels market which TotalFinaElf considered
was below critical mass. The sale will not
affect TotalFinaElf's commercial/
wholesale marketing activities in
Switzerland. Tamoil's Swiss retail fuels
network will number 431 stations following
the deal.
TotalFinaElf/Galp Spain / 2002 Divestment M Sale by TotalFinaElf of its Spanish retail
Energia/AgipPetroli - Portugal/ network of 186 s/stations together with its
s/stations Italy Valencia storage terminal to
AgipPetroli/Galp Energia in exchange for
195 Agip s/stations in Italy plus 111 Galp
Energia stations in Portugal.

Company report - 31 May 2018 Page 13 of 14

Total refining and oil products summary

TotalFinaElf/Oyak - Turkey 2002 Acquisition M Acquisition by TotalFinaElf of the 32%

Selyak marketing joint minority interest in Selyak, the former Elf
venture joint venture marketing company in
Turkey, from local group Oyak and its
subsidiary Mais. Facilitated the merger of
Total Oil Turkey, TFE's other wholly-
owned Turkish subsidiary, with Selyak to
form a combined retail network of ~500
s/stations plus an 8% share of the national
gas oil and lubricants market.

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Company report - 31 May 2018 Page 14 of 14