By Bate Felix
PARIS (Reuters) - French oil and gas major Total (PA:TOTF) will post industry-leading 2016 earnings, Chief Executive Patrick Pouyanne told France Info Radio on Thursday.
"I cannot reveal the results but what I can say is that the results were good. They were very resistant, and they will be among the best compared with other oil majors," Pouyanne said, adding that the earnings were helped by its ambitious cost-cutting plan.
The company will report its fourth quarter and full-year 2016 results on Thursday Feb. 9.
Rival Royal Dutch Shell (L:RDSa) said on Thursday it was close to selling assets totalling $5 billion to cut debt following its acquisition of BG Group, as it reported its lowest full-year earnings in more than a decade.
Asked if Total will restart investments following the rebound in oil prices, Pouyanne said the company will keep its investment budget of between $15 to $17 billion (12-14 billion pounds) stable.
"The good strategy in oil is to constantly invest despite price volatility. We aim to decide on some new projects because in this industry, when prices fall, costs also decline," Pouyanne said.
"This is the right opportunity to launch new projects. We have about 10 projects around the world that we will like to make a decision on in the coming 18 months," he added.
On the election of Donald Trump as President of the United States and the impact it will have, Pouyanne said Trump's election will favour investments in the U.S. oil sector, however, there was still uncertainty in the geopolitical scene.
Pouyanne said he was not worried about the gas deal Total signed with Iran on the day Trump was elected despite tensions between the new administration and Tehran.
"The project is not jeopardized. Total respects international laws. If there is a change in the deal that was signed, we will be obliged to obey, but as of today, we are moving ahead." Pouyanne said.
Trump has said that the deal which ends a diplomatic standoff between Iran and six world powers over the country's nuclear policy and opens the way for western investment "the worst deal ever negotiated."
The Trump administration on Wednesday put Iran "on notice" for test-firing a ballistic missile and said it was reviewing how to respond, taking an aggressive posture toward Tehran that could raise tensions.