French energy giants fuel UK double

The production slowdown and disposals by BP, Shell and other rivals also mean that mid-range explorers have a more important role.

Total, operating in the North Sea since 1987, has built on the discovery of the Alwyn and Dunbar fields and the acquisition of Fina and Elf interests.

“We’ve also been making small discoveries every two years or so and are looking at how we can tie them in,” says Mr Guys, whose company will have eight drilling rigs operating in the North Sea this year.

The development of the Elgin-Franklin complex has also boosted Total, and Mr Guys expects reserves to build up to 600m barrels of oil equivalent by 2017.

But consultants Wood Mackenzie expect Total’s stay at the top will be short-lived as BP and Shell prepare to benefit from their new investment programmes.

The focus on Total is switching to shale following the approval of two licences, and Mr Guys is giving a high priority to an application for exploration territory in the next round of onshore licensing. He adds: “There is considerable geological potential in the East Midlands area.”

He hopes President Hollande will be influenced by the way Britain is encouraging shale development to lift a ban on exploration in France, although doubts whether David Cameron’s enthusiasm would influence the French president.

The cross-Channel entry fee into the UK economy for EDF has a bargain basement look when measured against the projected new nuclear outlay. EDF, which has 5.8m customers, spent £12.5bn to take over British Energy and its second- generation nuclear plants. It bought and then sold network businesses in London, the South East and eastern England.

It has ploughed back all its operating profit into the UK business and overall has invested around £3.5bn since 2011. Operating profits of £863m last year were driven by the best performance from its eight nuclear plants in eight years.

EDF, regarded as the EU power broker because of its considerable nuclear capacity and widespread customer network, has been able to add the UK to its “grid” because of the difference in market climates between the two countries. The ease of entry into the UK is in sharp contrast to the difficulties faced by companies wanting to break into a French market slow to embrace the EU’s energy competition policy.

Vincent de Rivaz, head of EDF Energy, believes the company has made a considerable contribution to averting electricity cuts that could result from the Hinkley delays, by extending the operating lives of EDF’s seven advanced gas-cooled reactor stations. They will all still be operating in 2023, when Hinkley is due to make its delayed debut.

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