TotalEnergies Sells 12.5% Stake in OML118 to Shell Nigeria for $510 Million

In a strategic move, TotalEnergies has confirmed that its Nigerian subsidiary, TotalEnergies EP Nigeria (TEPNG), has reached an agreement to divest its non-operated 12.5% interest in the OML118 Production Sharing Contract (PSC) to Shell Nigeria Exploration and Production Company Ltd (SNEPCo).

The $510 million transaction pertains to TotalEnergies’ stake in the Bonga Deepwater oilfield, located offshore Nigeria. Shell intends to leverage this acquisition to expand its operations in the region, with plans to develop another major project there.

This announcement was made on Thursday, May 29, 2025, through a press release by TotalEnergies, which noted that the deal is contingent on customary conditions, including regulatory approvals.

Upon completion, Shell’s ownership stake in the OML118 lease will rise from 55% to 67.5%, reinforcing its ongoing commitment to oil production offshore Nigeria. This deal follows Shell’s recent divestment of its onshore assets to Renaissance, a consortium of four Nigerian companies and an international energy partner.

The official statement from TotalEnergies reads:
“TotalEnergies announces that its subsidiary TotalEnergies EP Nigeria (TEPNG) has entered into an agreement with Shell Nigeria Exploration and Production Company Ltd (SNEPCo) for the sale of its non-operated 12.5% interest in the OML118 Production Sharing Contract (PSC) for $510 million.