TotalEnergies also consented to selling 12.5% interest ownership in Bonga oil field, offshore Nigeria, to Shell for $510 million.
The OML118 Production Sharing Contract (PSC) is offshore in ~74 mi (120 km) depth off the Niger Delta, Nigeria, and comprises the Bonga field, which was put on production in 2005, and the Bonga North field, development of which started in 2024. Oil production from the OML 118 PSC contributes approximately 11,000 boed to TotalEnergies' company share in 2024.
Shell's stake will increase to 67.5% upon the completion of the deal. It belongs to Esso Exploration and Production Nigeria, which has 20%, and Nigerian Agip Exploration has 12.5%.
"TotalEnergies is relentlessly high-grading its Upstream portfolio, to focus on low technical cost and low emission assets, and to minimize its cash breakeven" said Nicolas Terraz, President Exploration & Production of TotalEnergies. "In Nigeria, the organization is focusing on its operated gas and offshore oil assets and is advancing the development of Ubeta project, intended to preserve the supply of gas to Nigeria LNG."