TotalEnergies has announced the sale of its 12.5% stake in the OML118 Production Sharing Contract to Shell Nigeria Exploration and Production Company Ltd. TotalEnergies’ subsidiary, TotalEnergies EP Nigeria, signed the deal.
The company disclosed in a statement on Thursday that the deal is valued at $510m while SNEPCo operates the OML118 PSC with a 55% stake, and Esso Exploration and Production Nigeria holds 20%, and TotalEnergies EP Nigeria and Nigerian Agip Exploration each hold 12.5%.
TotalEnergies has announced that its subsidiary, TotalEnergies EP Nigeria, has agreed to sell its 12.5% stake in the OML118 Production Sharing Contract to Shell Nigeria Exploration and Production Company Ltd for $510m.
Located deep offshore at 120 km south of the Niger Delta in Nigeria.
The OML118 block includes the Bonga field, which began production in 2005, and the Bonga North field, which started development in 2024.
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The OML 118 PSC, which is primarily an oil-producing asset, generated around 11,000 barrels of oil equivalent per day for TotalEnergies in 2024 while the deal’s completion is contingent on standard conditions, including obtaining regulatory approvals
Speaking, the President of Exploration & Production at TotalEnergies, Nicolas Terraz, said the firm would now focus on assets with low technical costs and emissions. Terraz stated that it company also intends to lower its cash breakeven.
He added that the company is focusing on its operated gas and offshore oil assets and is currently progressing the development of the Ubeta project, designed to sustain gas supply to Nigeria LNG.
“TotalEnergies continues to actively high-grade its Upstream portfolio, to focus on assets with low technical costs and low emissions, and to lower its cash breakeven.
“The company is focusing on its operated gas and offshore oil assets and is currently progressing the development of the Ubeta project, designed to sustain gas supply to Nigeria LNG,” Terraz stated.
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