Integrated oil and gas company, TOTAL S.A. (TOT), announced that it has acquired an interest in Chicago-based Elevance Renewables Sciences Inc., a company presently working on an innovative technology, which will transform natural oil into high performance chemicals.
This new investment is a strategic fit to TOTAL’s energy diversification efforts. The company through its Corporate Venture Activity supports the development of innovative ideas. Elevance’s know-how is based upon the Nobel Prize winning olefin metathesis technology.
TOTAL through its Corporate Venture Activity has been investing in other pioneering projects. In April 2010, Total acquired interests in Chicago-based Coskata, a company developing an innovative technology to convert syngas into fuels and chemical products using a biological process.
TOTAL is continuously working to improve its production portfolio globally through strategic alliance, acquisition and disposal of assets not in sync with its long-term goal. Of late, TOTAL allied with Suncor Energy Inc. (SU) in three oil sands projects, located in Alberta, Canada. TOTAL increased its presence in Australia through an additional 7.5% interest in Gladstone LNG project from Santos for an amount of $281.25 million.
We like TOTAL’s commitment in investing capital on research and development of new-fangled technologies with a potential commercial value.
TOTAL S.A. currently retains a Zacks #3 Rank (short-term Hold rating). We maintain our long-term Neutral rating on the stock.
France-based TOTAL is one of the largest publicly traded global integrated oil and gas companies based on production volumes, proved reserves, and market capitalization. The company has exploration and production operations across five continents.
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