Total’s Elgin reopening faces delays

First-quarter target for U.K. field

Total SA plans to resume output from the Elgin platform in the North Sea by the end of the first quarter, signalling the return of the company’s largest U.K. field may take longer than hoped.

“We are working on a restart as soon as possible during the first quarter,” Total spokesman CharlesEtienne Lebatard said by phone. “Safety remains our priority.”

Total is struggling to raise output after the North Sea field was evacuated and shut down March 25 following a natural gas leak. The platform, about 240 kilometres (150 miles) east of Aberdeen in Scotland, and the nearby Franklin operation, provided about 2 per cent of the company’s annual production.

The company said it had applied for permission from the Health and Safety Executive to start the field in November.

Total shares reversed earlier gains to trade down as much as 0.7 per cent at 38.87 euros in Paris.

Total is trying to complete several “workscopes” for early January that may allow the field to start, Jake Molloy, regional organizer for the RMT union, said in an e-mail.

“Our members believe this target will not be met as there is too much work still to do.”

The field may be restarted around March because more work is required and the Health and Safety Executive needs to give its approval, he said.

Total’s chief executive officer Christophe de Margerie said last week the company was aiming to restart output from the field at the end of this year or at the start of 2013. If there was the smallest need to delay the startup by a few days or weeks, the company would do this, he said in November.

The Health and Safety Executive is assessing the post- incident safety case and going through the normal permissioning process, said an official from the executive, who asked not to be identified because of internal policy.

At the end of that process, Total has the option of restarting, the official said by phone.