Total S.A. and Behran oil reached an agreement about Beh Tam Co.

Total Research & Technology Feluy (“TRTF”), a wholly-owned af filiate of TOTAL, commenced in 2016 the process to file a patent in Iran concerning metallocene technology. Related to this process, TRTF had contacts with Iranian government officials, but no fees were paid. TRTF expects to continue the patent filing process in 2017.

Until December 2012, at which time it sold its entire interest, the Group held a 50% interest in the lubricants retail company Beh Total (now named Beh Tam) along with Behran Oil (50%), a company controlled by entities with ties to the government of Iran. As part of the sale of the Group’s interest in Beh Tam, TOTAL S.A. agreed to license the trademark “Total” to Beh Tam for an initial 3- year period for the sale by Beh Tam of lubricants to domestic consumers in Iran. In 2014, Total E&P Iran (“TEPI”), a wholly-owned affiliate of TOTAL S.A., received, on behalf of TOTAL S.A., royalty payments of approximately IRR 24 billion (nearly $1 million (1) ) from Beh Tam for such license. These payments were based on Beh Tam’s sales of lubricants during the previous calendar year. In 2015, royalty payments were suspended due to a procedure brought by the Iranian tax authorities against TEPI. At the end of 2016, this procedure was still pending and no royalty payments had been received since 2015. Representatives of Total Outre Mer, a wholly- owned affiliate of the Group, made several visits to Beh Tam and Behran Oil during 2016 regarding the possible purchase of shares of Beh Tam. Subsequent to an internal reorganization, the matter was transferred to Total Oil Asia-Pacific Ltd, another wholly-owned affiliate of the Group, which had several exchanges with representatives of Behran Oil. As of the end of 2016, no agreement had been reached, no money was paid or received by either company. Similar discussions may take place in the future. Total Marketing Middle East FZE (“TMME”), a wholly-owned affiliate of the Gr oup, sold lubricants to Beh Tam in 2016. The sale in 2016 of approximately 54 t of lubricants and special fluids generated gross revenue of approximately AED 420,000 (approximately $114,000) and net profit of approximately AED 360,000 (approximately $98,000). TMME expects to continue this activity in 2017. Total Marketing France (“TMF”), a company wholly-owned by Total Marketing & Services (“TMS”), itself a company wholly-owned by TOT AL S.A. and six Group employees, provided in 2016 fuel payment cards to the Iranian embassy in France for use in the Group’s service stations. In 2016, these activities generated gross revenue of nearly € 22,000 (approximately $23,000) and net profit of nearly € 900 (nearly $950). TMF expects to continue this activity in 2017.


ifmat - Total Beh oil

Source » www.total.com/sites/default/files/atoms/files/ddr2016_va_web_1.pdf

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