European multinational integrated energy and petroleum company of France TotalEnergies has put on hold a planned investment in Adani Group’s USD 50 billion hydrogen project pending results of an audit launched following allegations by a US short-seller, chief executive Officer Patrick Pouyann said on February 8.
TotalEnergies has not yet signed a contract, he claimed during an earnings call, despite the agreement where the French oil giant planned to take a 25 percent stake in the hydrogen venture of the Adani group being launched in June of last year.
The hydrogen project will undoubtedly be placed on hold until Adani company clarifies the claim made by US short-seller Hindenburg Research, Pouyanne added.
One of the largest foreign investors in the business empire of billionaire Gautam Adani, TotalEnergies earlier acquired shares in the group's renewable energy company, Adani Green Energy Ltd, and city gas division, Adani Total Gas Ltd.
According to the June 2022 announcement, TotalEnergies was supposed to acquire a 25 percent equity stake in Adani New Industries Ltd (ANIL), a company owned by the Adani Group that is investing $50 billion over ten years in a green hydrogen ecosystem with a first-mover advantage of 1 million tonnes of production capacity before 2030.
The Total news only makes Adani's problems worse. The opposition parties have also utilised the controversy surrounding the organisation in the wake of the Hindenburg report to criticise the government, claiming that the tycoon's rise was entirely the result of his friendship with Prime Minister Narendra Modi. The claim has been disputed by the authorities.
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