Total needs to cover $12 bln shortfall due to crisis - CEO
French energy major Total now faces a revenue shortfall of at least $12 billion.
It's due to the crash in oil prices, and is a third higher than its previous forecast.
The company's CEO told a shareholders' meeting on Friday (May 29) that it will have to make more far-reaching cost cuts.
Total had expected the oil price to be at around $60 per barrel in 2020.
Instead it's about $30.
Total, like other oil and gas companies, announced plans to cut its investments this year by around 20%.
It's also suspended its share buyback programme, and said it will need to find additional savings.
But it's got the green light to continue to expand in the low-carbon energy sector after recent acquisitions, particularly in Spain.
The move will give it 8.5 million gas and electricity customers in France, Spain and Belgium from next year.
Total says it's also planning new renewable energy projects which will be announced in the coming weeks.
Its shares were down over a percent in Friday afternoon trade.
