France’s TotalEnergies said Thursday it would sell its stake in a major offshore oil field in Nigeria to UK energy giant Shell for $510 million.
TotalEnergies is giving up its 12.5 percent stake in the Bonga field, increasing Shell’s share to 67.5 percent, the companies said in separate statements.
The French firm is withdrawing from a production-sharing agreement that the Nigerian state signed in 2021 with TotalEnergies, Shell, US oil major ExxonMobil, and Italy’s Eni following two years of tough negotiations.
Bonga is part of the OML 118 block, 120 kilometres (75 miles) south of the Niger Delta. The field is expected to have a production capacity of 250,000 barrels per day.
“This acquisition brings another significant investment in Nigeria’s deep-water that contributes to sustained liquids production and growth in our Upstream portfolio,” said Shell’s upstream business president, Peter Costello.
Nicolas Terraz, TotalEnergies President for exploration and production, said the French firm was “focusing on its operated gas and offshore oil assets” in Nigeria.
