French energy major TotalEnergies has reported a more-than-doubling of its second quarter net income to $5.7bn, from $2.20bn in the same quarter a year ago.

The profit is driven by mounting demand for liquefied natural gas (LNG) in Europe, rising oil and gas prices, and record-high refining margins in the wake of Russia’s invasion of Ukraine, the company said.

TotalEnergies CEO Patrick Pouyanné said: “In this context, TotalEnergies responded by increasing energy output, thus contributing to energy security. LNG sales rose to more than 25 metric tonnes in the first half, with 60% in Europe, and TotalEnergies’ refineries raised their utilisation rate to nearly 90%.”

For Q2 2022, the company’s adjusted EBITDA soared to $18.7bn, from $8.66bn a year earlier.

Revenue from sales increased by 58.9% to $70.46bn, from $41.64n in the second quarter of 2021.

In the quarter that ended on 30 June 2022, the company’s cash flow was $13.2bn and its free cash flow was $4.5bn, after buying back shares worth $2bn.

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By GlobalData

Pouyanné said: “Exploration and Production posted [an] adjusted net operating income of $4.7bn and cash flow of $7.4bn, despite a decrease in production in the quarter that was due to planned maintenance and security-related cuts in Nigeria and Libya.

“Downstream benefited from exceptionally high refining margins on distillates and gasoline to report adjusted net operating income of $3.2bn, up sharply over the quarter, and cash flow of $3.5bn. In this context, the company announced a fuel price reduction program benefiting its French customers.”

The French firm also recorded a new impairment charge of $3.5bn, related mainly to the potential impact of Western sanctions on the value of its stake in Russia’s Novatek.

Excluding Russia, the energy firm’s adjusted net income stood at $9.1bn.

In the light of improved results, TotalEnergies’ board approved a second interim dividend of €0.69 per share, up 5% year-on-year.

The board also approved the buyback of shares, worth up to $2bn, in the third quarter of this year.

In a separate announcement, TotalEnergies has launched three projects in Angola region including the Quiluma gas field, the Begonia oil field, the Maboqueiro gas fields, and a photovoltaic project.