TotalEnergies increases stake in OPL257 to 90%

TotalEnergies has signed agreements with Conoil Producing Limited to acquire from Conoil a 50% operating interest in block OPL257 while Conoil is to acquire the 40% participating interest held by TotalEnergies in block OML136, both located offshore Nigeria. Upon completion of the transaction which is subject to regulatory approval by the Nigerian Upstream Petroleum Regulatory […]

TotalEnergies has signed agreements with Conoil Producing Limited to acquire from Conoil a 50% operating interest in block OPL257 while Conoil is to acquire the 40% participating interest held by TotalEnergies in block OML136, both located offshore Nigeria.

Upon completion of the transaction which is subject to regulatory approval by the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), TotalEnergies’ interest in OPL257 would be increased from 40% to 90%, while Conoil will retain a 10% interest in the block.

This is contained in a statement by TotalEnergies on Wednesday as the company moves to strengthen its position in Nigeria’s upstream sector.

Covering an area of around 370 square kilometers, OPL 257 is located 150 kilometers offshore the coast of Nigeria. 

The block is adjacent to PPL 261, where TotalEnergies (24%) and its partners discovered in 2005 the Egina South field, which extends into OPL257.

An appraisal well of Egina South is planned to be drilled in 2026 on OPL257 side, and the field is expected to be developed as a tie-back to the Egina FPSO, located approximately 30 km away.

The transaction will enable TotalEnergies to proceed with the appraisal of the Egina South discovery, an attractive tie-back opportunity for Egina FPSO. 

This fits perfectly with our strategy to leverage existing production facilities to profitably develop additional resources and to focus on our operated gas and offshore oil assets in Nigeria, said Senior Vice-President Africa, Exploration & Production at TotalEnergies, Mike Sangster.

He stressed that the transaction aligns with the strategy of maximizing the value of existing infrastructure and focusing Nigerian activities on operated offshore assets.

Completion of the transaction remains subject to customary conditions, including regulatory approval, the firm stated.

Daily Trust reports that TotalEnergies has positioned itself as a leader in the upstream segment of the oil and gas industry. It recently promised to explore new opportunities in the 2025 licensing round which is expected to kick off in the next two weeks.