Oct 29, 2014 7:23 AM
Total profit hit by drop in oil prices
The Associated Press
PARIS (AP) French oil company Total SA says its earnings dropped in the third quarter due to the falling global price of oil.
Total said Wednesday that its replacement cost profit, a key gauge of earnings for oil companies, slid 2 percent to $3.56 billion in the three months to September from $3.63 billion in the same period a year earlier.
Total's oil and gas production slumped 8 percent in the quarter to 2.122 million barrels a day, which the company blamed on the expiration of a license in the United Arab Emirates and a natural decline of older wells. The company recently cut its 2015 production target to 2.3 million barrels a day, down from its prior target of 2.6 million barrels a day.
The price of international crude oil has fallen $28 in the past four months to around $86 a barrel.