Commonwealth of Independent States (CIS)

In 2014, TOTAL’s production in the CIS was 249 kboe / d, representing 12% of the Group’s total production, compared with 227 kboe / d in 2013 and 195 kboe / d in 2012.

In Azerbaijan, where TOTAL has been present since 1996, production, coming entirely from the Shah Deniz field, was 14 kboe / d in 2014 compared with 20 kboe / d in 2013 and 16 kboe / d in 2012.

– In August 2014, TOTAL sold its stake in the Shah Deniz field (10%) as well as its 10% stake in the pipeline held by South Caucasus Pipeline Company (SCPC).

– In September 2014, the Group sold its 10% stake in the Trans Adriatic Pipeline (TAP).

– TOTAL holds a 5% interest in the Baku-Tbilisi-Ceyhan (BTC) pipeline.

TOTAL is the operator for the exploration phase of the Absheron Block (40%) in the Caspian Sea, on which a discovery and commercial declaration was filed in 2012. The development plan for the field is currently being prepared.

In Kazakhstan, TOTAL has been active since 1992 in the North Caspian license (16.81%), which covers the Kashagan field. First phase production from Kashagan(300 kb / d) started in September 2013 and was halted in October, 2013 due to leaks detected on the gas export pipeline. Following investigations carried out by the consortium, a refurbishment plan for the pipelines was approved. The two oil and gas export pipelines will be replaced over 99 km.

In February 2015, TOTAL sold 23.9% of its 75% interest in the Northern and Southern Nurmunai onshore exploration blocks, located in the southwest of the country. The drilling of a well started at the end of February 2015 on Northern Nurmunai Block.

In Russia, where TOTAL has had operations since 1991 and where, as of December 31, 2014, the Group held 19% of its proved reserves, the Group’s production in 2014 was 235 kboe / d compared with 207 kboe / d in 2013 and 179 kboe / d in 2012. This production comes from the Kharyaga field and from TOTAL’s stake in the Russian company OAO Novatek (18.24%)(1), which is listed in Moscow and London (hereafter, “Novatek”). In 2014, international economic sanctions related to the situation in Ukraine were imposed by the United States, the EU and other countries. TOTAL complies with sanctions applicable to its activities. For additional information, refer to point 3.9.1.3. of chapter 4 (Risk factors).

– On the Kharyaga field (40%, operator), the development of phases 3 and 4 is ongoing

– In addition to its shareholding in Novatek, TOTAL currently participates via a direct stake in two projects:

- Termokarstovoye(onshore gas and condensate field located in the Yamalo-Nenets district): The development and production license for the Termokarstovoye field is owned by ZAO Terneftegas, a joint venture between Novatek (51%) and TOTAL (49%). Development of the field started in late 2011 (estimated capacity of 65 kboe / d).

– Yamal LNG: Launched in December 2013, the aim of this project is the development of the onshore South Tambey field (gas and condensate) located in the Yamal Peninsula via the construction of a three-train LNG liquefaction plant with a capacity of 16.5 Mt / y. In order to comply with international economic sanctions, the financing plan for the Yamal LNG project is being reviewed, and the project’s partners are engaged in efforts to develop a financing plan in line with the applicable regulations. In parallel, the development of the project is progressing in a satisfactory manner. The OAO Yamal LNG company is jointly owned by Novatek (60%), Total E&P Yamal (20%) and, since January 2014, CNODC (20%), a subsidiary of CNPC.

In May 2014, TOTAL signed a strategic cooperation agreement with OAO LUKOIL in order to develop shale oil resources in the Bazhenov basin, located in the province of Kanthy Mansiysk. In addition to the licenses covered by this agreement, TOTAL acquired six new licenses in the basin in 2014. The international economic sanctions imposed in the summer of 2014 have led the partners to put this project on hold.

In January 2014, Novatek increased its stake in the Severenergia company by acquiring ENI’s shares through Arcticgaz (50 / 50 joint venture between Novatek and Gazpromneft). In December 2013, Novatek exchanged its interest held in Sibneftegas for all of Rosneft’s interests in Severenergia in which it now has a 54.9% stake. Novatek has held a 50% stake in the company ZAO Nortgaz since June 2013.

In Tajikistan, TOTAL launched its activities in the country by acquiring a 33.3% stake in the Bokhtar Block in the first half of 2013. Environmental and societal studies were carried out in 2014. A 2D seismic campaign covering 800 km started in 2014.

(1) The Group held an 18.24% stake in OAO Novatek as of December 31, 2014.