Total’s commitment to managing and limiting the impact of our activities is clearly expressed in Article 2 of our Health Safety Environment Quality (HSEQ) Charter: “No development or product launch may be undertaken without prior assessment of risks to safety, health and the environment over the entire life of the project or product.”

Carefully vetting the health & safety impact of our products

Because some of our products may be detrimental to users’ health, the cornerstones of Total’s HSEQ policy are information, evaluation and transparency.
Product information is provided in the form of material safety data sheets (MSDSs). Prepared by a network of experts from our Health, Safety and Environment (HSE) teams, MSDSs describe our products’ potentially hazardous properties and the precautions hat should be taken when using them.They can be consulted online, either at www.quickfds.com or via the corporate intranet.
We also implement initiatives targeting specific products and situations, such as the LPG training program in Argentina.

The European Union Regulation concerning Registration, Evaluation and Authorization of Chemicals (REACH) was formally adopted in 2006 and will come into force on June 1, 2007. REACH aims to improve the protection of human health and the environment by reducing the risks associated with the manufacture, distribution, use and disposal of products and by improving their design and evaluation and the product information provided. In application of the REACH regulation, producers and importers of chemical substances — including petroleum products — must evaluate the conditions of manufacture, marketing and use of all their product lines, as well as the associated risks.
As the No.1 refiner in Europe and a worldclass chemicals manufacturer, Total is directly impacted by the new regulation, to which we have responded proactively. To meet the requirements set out in REACH, we need to enhance our inhouse product expertise and continue to listen attentively to stakeholders.

	LPG Safety Training In August 2006, a training center was opened in Santo Tomé, Argentina, to make liquefied petroleum gas (LPG) processes more professional and promotesafe handling. LPG is a unique product that needs to be handled, transported and stored in accordance with strict rules. The new center will train the employees and service providers of Totalgaz Argentina and Total Paraguay, as well as other professionals in the region whose jobs bring them into contact with LPG, such as truck drivers, firefighters and police officers. Programs offered by the center will include practical training in dealing with leaks and fires. By setting up the new training center, we have provided the region with the resources necessary to meet a previously unsatisfied need.   Equipment used at the LPG training center in Sao Tomé, Argentina, to teach professionals how to manage fire risks.

Manufacturers like Total have to consider and plan for the impact of a product throughout its entire life cycle. This process involves finding innovative solutions to improve our products’environmental performance, starting in the design phase right through to end-of-life. Curbing harmful emissions, recycling waste and designing new products are just some of the ways in which we are meeting this challenge.

An innovative, efficient solution for recycling used oil

In 2006, Total and Veolia Environnement teamed up to develop a used motor oil recycling business — a project in line with our sustainable development strategy. The new Osilub joint venture¹ involves the construction of a plant near Rouen, France, scheduled for commissioning in 2009. The unit will be capable of recycling up to 120,000 metric tons of used oil a year, equivalent to half the amount generated in France. The distillate will then be re-refined to produce new lubricants and fuels.

Rather than a base oil or a single end product as is usually the case, the new facility will produce a vacuum gas oil (VGO) that is richer in hydrogen and has a lower gravity, meaning that it will have a higher yield in a fluid catalytic cracking
unit (FCCU). The VGO can be processed in a refinery to produce petroleum products or used to make base oils that are just as good, if not better, than the best virgin oils.

A sophisticated business delivering superior technical performance, Osilub fits seamlessly into Total’s strategic vision for the future of motor oils. It also leverages broad synergies between the two companies. With extensive experience in collecting used oils, Veolia will supply the necessary feedstock, while Total will provide the outlet.

By actively recycling oils that were, at least in part, originally brought to market by us, we are proactively fulfilling our responsibilities as a corporate citizen. Carried out over several stages with an efficiency of between 70 and 80%, the recycling process will be particularly virtuous. Osilub is a well-balanced project that combines environmental commitment with industrial and financial benefits.

1 35% Total Lubrifiants, 65% Veolia Environmental Services.

	Ecolub Wins Over Africa In Cameroon, Total has developed a used oil recovery and recycling concept called Ecolub. As part of the process, Total Cameroun provides the necessary storage facilities to its own service stations and to large oil consumers. It also collects the used oil and transports it to Douala, where it is blended with heavy fuel oil at the recycling unit to make fuel that is sold to local customers, mainly cement plants. Nearly 2,000 metric tons of oil were processed this way in 2006. After having been extended to Madagascar, Burkina Faso and Niger, the Ecolub concept is expected to be rolled out in other African countries, including Gabon and Senegal.

Bostik supports sustainable building

As a manufacturer of adhesives, sealants and coatings, Bostik deploys a sustainable development strategy based on two main objectives—managing the environmental impact of its products and systems and contributing to the construction of healthy, comfortable homes.

Offering Customers Eco Design
To meet the criteria set out in the High Environmental Quality (HQE®) accreditation standard, which promotes green building in France, Bostik is constantly innovating and adapting its products. It provides customers with health and environmental notices for several product families, based on life cycle assessments (LCAs) that inventory the resources consumed and the emissions generated by a product from manufacturing to disposal.

In 2006, Bostik introduced Novaflex® GCP,interior flooring made of polyurethane resin and rubber granules, whose overall meets HQE® criteria, particularly in relation to life cycle, emissions of volatile organic compounds (VOCs), and reaction to bacterial and fungal contamination.

Innovating to Improve Existing Products
In the North American market, Bostik has launched Bostik Siding Ultra®, a new sealant for vinyl siding. This solvent-free product is colorfast and offers superior adhesion and very low VOCs, making it perfectly compatible with tighter environmental regulations on the disposal of chlorinated solvents. Thanks to BostikSiding Ultra®, Total is a technological leader in the U.S. sealant market.

To support its product innovation-driven strategy, Bostik has seven R&D labs worldwide. Here, the lab at the Coubert plant in France.

Reducing the impact of our automotive products

To limit the environmental impact of vehicle fuel use, Total markets products that enhance fuel efficiency and reduce the amount of harmful emissions produced.

Total Excellium Diesel wins consumer confidence

Rolled out in 2005, Total Excellium Diesel is both more efficient and more environmentally friendly than other diesels as it:

• Reduces CO₂ and other emissions.
• Allows engines to run more quietly.
• Improves engine efficiency and durability.
• And enhances fuel efficiency.

In 2006, the French subsidiaries of Bouygues Construction and Saur tested Excellium Diesel for six months in a fleet of 752 vehicles. For eight million kilometers traveled, the results showed a 3.7% saving in fuel consumption and an equivalent reduction in CO₂ emissions, compared with conventional diesel fuel.
After the trial, the construction group announced that it would be extending the use of Total Excellium Diesel across its entire fleet of 25,000 vehicles in France. The potential saving to the environment is estimated at 9,250 metric tons of CO₂ per year, along with a 20% cutback in carbon monoxide (CO₂) emissions.

Reducing NOx emissions : AdBlue arrives in the Netherlands

Road transportation accounts for a significant percentage of nitrogen oxide (NOx) emissions.
However, injecting a water-based urea solution into the vehicle’s exhaust flow, where the exposure to heat converts it to ammonia, can reduce these emissions.
The ammonia reacts with the NOx, transforming 90% of it into two harmless substances — nitrogen and water.
In 2005, Total launched the standardized version of this urea solution under the trade name AdBlue. In 2006, Total Nederland inaugurated its first AdBlue facility, at the Zwinderen service station in northeastern Holland. The outlet is located on a main route to Germany, positioning it at a major European road transportation hub. Thanks to the new facility, Total Nederland sold 62,544 liters of AdBlue in 2006.

Research continues on fuel economy lubricants

Our teams at Refining & Marketing are constantly developing lubricants that can reduce fuel consumption and the subsequent impact on the environment. When used in cars and trucks, these lubricants improve fuel efficiency by an average of 3%. Products in our high-performance range for vehicles include Quartz Ineo ECS (marketed under the Activa brand in France), Quartz Future 9000 5W30 and Elf Evolution SXR 5W30.

Ambitious targets for first-generation biofuels

Total has supported the development of biofuels since 1992 and is the European leader in the field, blending 900,000 metric tons a year in automotive fuel sold in Europe. We are active in both of the main first-generation biofuels, ethyl tertiary butyl ether (ETBE) and fatty acid methyl esters (FAME), known as vegetable oil methyl esters (VOME) in some countries.

We own or have interests in seven ETBE production facilities in Belgium, France, Germany and Spain and blend FAME in diesel in our refineries and depots in France, Germany and Italy. We have also been marketing diesel fuel with up to 30% FAME for captive fleets for the last ten years.
Total blended 1.75% of biofuels in the automotive fuel marketed in France in 2006, and is helping to reach the target of 5.75% set by the French government in line with the European Union target for 2010.
We are also actively involved in developing second-generation biofuels, which will have an even smaller environmental footprint.

Total blends 900,000 metric tons of biofuels in automotive fuel sold in Europe

	The first E85 demonstration pump was inaugurated at one of our Paris service stations during the year. Flexfuel vehicles (FFVs) can run on the new E85, which contains 85% ethanol, on gasoline or on a blend of the two. Further strengthening our commitment to this technology, we have signed a charter for the development of super ethanol in France, which outlines each participant’s role in ensuring the availability of competitively priced E85. At least 200 outlets should be equipped to sell E85 by the end of 2007.