“`html
PARIS — TotalEnergies, the global energy giant, has finalized the sale of a 12.5% stake in Nigeria’s Oil Mining Lease (OML) 118, a key deepwater asset. The transaction, executed through its subsidiary TotalEnergies EP Nigeria (TEPNG), involves Shell Nigeria Exploration and Production Company Ltd (acquiring 10%) and Nigerian Agip Exploration (acquiring 2.5%) for a total consideration of $510 million.
The OML 118 block contains the Bonga field, a significant source of crude oil production for Nigeria. This divestiture aligns with TotalEnergies’ ongoing strategy to optimize its portfolio, focusing on high-return projects while streamlining operations in certain regions, according to company statements. Analysts speaking with CNBC indicate this move could signal a broader trend of international oil companies reassessing their investments in mature African oil fields, potentially spurred by concerns over security, regulatory uncertainty, and the global shift towards renewable energy.
“This divestment allows TotalEnergies to free up capital for strategic investments in other projects, particularly in the renewable energy sector and in regions with more favorable regulatory environments,” says one energy analyst. “We are seeing a growing number of IOCs reconsidering their exposure to Nigerian assets, and this deal could trigger further consolidation or divestments in the region.”
While the sale reduces TotalEnergies’ direct involvement in OML 118, the company remains a significant player in the Nigerian energy landscape through its other holdings and operations. TotalEnergies has been present in Nigeria for over 60 years, employing over 1,800 people across various business segments, producing 209,000 boe/d in 2024. Nigeria remains a crucial region for TotalEnergies’ hydrocarbon production. The company also operates an extensive distribution network with approximately 540 service stations nationwide and emphasizes its commitment to the socio-economic development of the communities in which it operates.
TotalEnergies’ strategic shift reflects the broader challenges and opportunities facing the oil and gas industry. As global energy demand evolves, companies are increasingly pressured to balance traditional hydrocarbon production with investments in renewable energy sources and low-carbon technologies. The Nigerian government is actively seeking to increase domestic participation in the oil and gas sector, potentially influencing future investment decisions by international players.
The company describes itself as a global integrated energy company that produces and markets energies: oil and biofuels, natural gas, biogas and low-carbon hydrogen, renewables and electricity are all part of its portfolio. TotalEnergies operates in rougly 120 countries and places sustainability at the heart of its strategy, projects, and operations.
TotalEnergies.
“`
Original article, Author: Jam. If you wish to reprint this article, please indicate the source:https://aicnbc.com/13556.html
