As of December 31, 2010, Total’s worldwide refining capacity was 2,363 kb/d. In 2010, the Group’s worldwide refined products sales were 3,776 kb/d (including trading operations), compared to 3,616 kb/d in 2009
and 3,658 kb/d in 2008. Total is the largest refiner/marketer in Western Europe 1, and the largest marketer in Africa 2. As of December 31, 2010, Total’s worldwide marketingnetwork consisted of 17,490 service stations in 2010, compared to 16,299 in 2009 and 16,425 in 2008, more than 50% of which are owned bythe Group. In addition, Total’s refining operations allow the Groupto produce a broad range of specialty products, such as lubricants,liquefied petroleum gas (LPG), jet fuel, special fluids, bitumen,marine fuels and petrochemical feedstock.

The Group is adapting its Refining business to an environment thatis depressed due to weaker demand for refined products. Total continues to improve its positions by focusing on three key areas:adapting its European refining system to market changes;modernizing its Port Arthur refinery in the United States andbuilding a refinery in Jubail in Saudi Arabia.

Regarding its Marketing business, the Group intends to consolidateits position in Western Europe, pursue targeted developments inAfrica and the growing markets of the Asia-Pacific region andexpand its specialty products business worldwide.

Consistent with the optimization of its Downstream portfolio inEurope, Total signed an agreement with ERG in January 2010 tocreate a joint venture in the Refining and Marketing business inItaly 3. “TotalErg” will be the name of this newly created companythrough the merger of Total Italia and ERG Petroli. The shareholdersagreement calls for a joint governance of the company as well asthe operating independence of the joint-venture. Total and Ergwill hold a 49% and a 51% interest, respectively. The transaction issubject to approval by the relevant authorities.