TotalEnergies announced on Monday that it will sell a 40% stake in two offshore exploration licences in Nigeria to Chevron in a bid to deepen cooperation between the two multinational energy companies.
According to Reuters, TotalEnergies’ Senior Vice President of Exploration, Nicola Mavilla, said the partnership is designed to “derisk and develop new opportunities in Nigeria to unlock new resources in the West Delta basin.”
Nigeria remains significant to TotalEnergies, accounting for over one-third of its oil and gas output in Africa and 8.5% of its global hydrocarbon production.
However, the company’s production in the country has dropped by 25% over the past 20 years.
After the stake sale, TotalEnergies will retain operatorship with a 40% share, while Chevron will hold 40% and South Atlantic Petroleum will maintain its 20% stake.
The development forms part of TotalEnergies’ ongoing efforts to streamline its African portfolio by focusing on assets where it serves as operator, while also seeking fresh supply sources.
In June, Chevron sold TotalEnergies a 25% stake in a portfolio of 40 U.S. federal offshore leases, further strengthening the exploration partnership between both companies.
