TotalEnergies Sells $510 Million Nigerian Oil Interest

TotalEnergies has completed its exit from a 12.5% interest in Nigeria’s deepwater OML 118, selling the stake for a total of $510 million as part of a broader strategy to reshape its upstream portfolio.

The transaction covers the company’s non-operated interest in the asset, which includes the Bonga oilfield and the developing Bonga North project, located about 120 kilometres offshore from the Niger Delta. OML 118 produced approximately 11,000 barrels of oil equivalent per day attributable to TotalEnergies in 2024.

The stake was ultimately divided between Shell Nigeria Exploration and Production Company and Nigerian Agip Exploration. Shell acquired 10% for $408 million, while Agip exercised its pre-emption rights to purchase the remaining 2.5% for $102 million. Shell subsequently increased its interest in OML 118 from 55% to 65%, while Agip holds 15%.

For TotalEnergies, the sale reflects a deliberate effort to concentrate capital on assets it considers more competitive, particularly operated gas projects and offshore oil developments. The company has said it remains active in Nigeria, including the Ubeta gas project intended to support supply to Nigeria LNG.

For Shell, meanwhile, the acquisition strengthens its position in one of Nigeria’s major deepwater assets. The company has described the investment as supporting sustained liquids production and growth in its upstream portfolio.

The deal illustrates how major international energy companies are actively reallocating capital within Nigeria rather than simply reducing their overall exposure to the country’s oil and gas industry.