Total profits flow from downstream unit Total, the French oil group, posted a 20 per cent increase in third-quarter profit, largely driven by a much-improved performance in its refining division. Stronger refining margins also helped rival BP, which unveiled higher-than-expected profits on Tuesday. Total reported adjusted net income of €3.3bn ($4.3bn), compared with €2.8bn in the same quarter last year. Sales of €49.9bn marked an 8 per cent increase on a year ago. Christophe de Margerie, chief executive, said the result reflected "good performance across all segments." Total recently announced that its strategy would be much more tightly focused on oil exploration - an area Mr de Margerie has admitted the company has neglected. He said Total was now entering a "period rich in high-potential wells, notably in the Gulf of Mexico, Iraq, Ivory Coast, Kenya and Gabon, and is increasing its acreage in promising plays." But the main driver of the improved profits was Total's downstream division. Net operating income in refining and chemicals stood at €564m, a 54 per cent increase on last year's €367m. The company said refining was boosted by higher demand for oil products from the US and higher levels of maintenance at European refineries, which reduced available capacity. It said its European refining margin indicator - which reflects profit margins at a hypothetical complex refinery in northern Europe - averaged $51 a tonne in the quarter, compared with $13 a tonne a year ago. Total said its oil and gas production stood at 2.272m barrels a day, down two per cent on year-ago levels. It said output from new projects was offset by outages in Nigeria and in the Elgin field in the North Sea, which was shut down this year when a gas leak was discovered. The leak was detected in March during operations to seal G4, a well that last year suffered several incidents. Total had to power down its Elgin platform and evacuate 238 workers, amid fears the well could blow out. The leak was successfully plugged in May, and Total said it was hoping to resume production at Elgin by the end of the year.