TotalEnergies SE announced a target to boost its hydrocarbon output by 3% per year through 2026, aiming to reach 4.2 million barrels of oil equivalent per day by the end of the period. The company’s strategy focuses on accelerating development in key deepwater and gas-producing basins, including the Gulf of Mexico and off the coast of West Africa, where recent exploratory wells yielded successful results with average recoveries exceeding 120 million barrels of oil equivalent. This production growth is designed to partially counteract the impact of lower Brent and WTI benchmarks, which have averaged around $75 per barrel so far this quarter, down roughly 15% from last year’s levels. Management emphasized that higher output will support cash flow stability even if market prices remain volatile.

Recognizing shifting global energy consumption patterns, TotalEnergies is ramping up investments in power generation to capitalize on rising electricity needs driven by electric vehicle adoption and the expansion of AI data centers. The company plans to increase its renewable generation capacity by 8 gigawatts by 2025, adding solar and wind farms in Europe, North America and Asia. In addition, TotalEnergies has secured long-term power purchase agreements (PPAs) with three major cloud-computing firms, collectively covering 1.5 terawatt-hours annually. Executives project that the power segment could contribute up to 20% of group EBITDA within five years, up from 12% in the most recent fiscal year, bolstering revenue diversification and reducing margins’ sensitivity to oil price swings.

According to regulatory filings, investment vehicle LARGE CAP INTERNATIONAL PORTFOLIO sold 10,871 shares of TotalEnergies during the most recent quarter, reducing its holding to 8,024 shares. The move represents a 57.53% decrease in its position, following a decision to rebalance toward higher-growth sectors. Prior to the sale, the fund’s stake was valued at approximately €350 million; post-transaction, its exposure stands near €150 million. Portfolio managers cited concerns over near-term margin pressure from sustained low oil prices and regulatory uncertainty in Europe’s energy transition policies. Despite this divestment, TotalEnergies remains one of the top ten holdings in the fund’s global energy allocation.