Nigeria: Totalgies give way to the participation of their participation in an important oil field

The total French oil giant will give to the British shell its participation in a large oil field in deep waters in Nigeria, the group announced on Thursday. The subsidiary in Nigeria de Totalenergies “signed an agreement” with the local Shell subsidiary “in the sale of its unpaid participation of 12.5%” in the Bonga offshore field, for an amount of $ 510 million (452 ​​million euros), the group said in a press release.

Therefore, Totalnergies withdraws from the important shared production agreement that the Nigerian State had ended up signing in 2021, after two years of showers, with the French Petrogazier and its powerful competitors Shell, Exxon Mobil and ENI. This agreement refers to the exploitation of the OML 118 block, 120 km to the south of the Nigerian coast, which houses the Bonga field, which is supposed to reach a production capacity of 250,000 barrels per day. The transaction, whose completion is expected by the end of the year, will bring Shell’s participation from 55% to 67.5% in the OML 118 operation.

Totalnergies wants to reduce its costs to improve its profitability

In 2024, “the production, mainly oil, represented around 11,000 barrels equivalent to oil per day in an action” attributable to Totalnerne, continues the press release of the French company. Totalnergies, through the voice of Nicolas Terraz, its director of Exploration of the Director General, justifies this sale for the desire to “focus on low -cost and low -emission assets” and “reduce the point of dead”, in other words, reducing its costs to improve its profitability. Nigeria is one of the main countries where Totalnergies produces hydrocarbons, “with 219,000 barrels equivalent to oil produced per day in 2023,” the group specifies.

Totalnergies is the third world player in LNG with 40 million tons sold in 2024 thanks to liquefaction factories in all regions of the world. For Shell, “This acquisition represents a new significant investment in the deep waters of Nigeria, which contributes to the sustained production of hydrocarbons and the growth of our portfolio” in exploration and production, said Peter Costello, senior leader of the group cited in a press release.