TotalEnergies acquires an additional 50% operated interest in Oil Prospecting License (OPL) 257 from Conoil, raising its stake from 40% (non-operated) to 90%. In exchange, Conoil receives TotalEnergies’ entire 40% non-operated interest in Oil Mining Lease (OML) 136.
This move increases TotalEnergies’ overall stake in OPL 257 from 40% to 90%, with Conoil retaining the remaining 10%.
Key Highlights
- In a reciprocal deal, Conoil will acquire TotalEnergies’ 40% participating interest in Oil Mining Lease (OML) 136, another offshore block in Nigeria.
- Block Overview: OPL 257 spans approximately 370 square kilometres and is located about 150 km offshore Nigeria in water depths of 1,600–1,800 meters.
- Strategic fit: The block is adjacent to Production Sharing Contract (PSC) block PPL 261, where TotalEnergies (24% interest) discovered the Egina South oil field in 2005, which extends into OPL 257. An appraisal well for Egina South is scheduled for 2026 on the OPL 257 side, with potential development as a tie-back to the nearby Egina FPSO (Floating Production Storage and Offloading unit), located roughly 30 km away. This aligns with TotalEnergies’ strategy to leverage existing infrastructure for efficient resource development and focus on operated offshore oil and gas assets in Nigeria.
- Partnership Context: This builds on a long-standing collaboration between TotalEnergies and Conoil. Notably, in 2008, Total (now TotalEnergies) initially farmed into OPL 257 with a 40% stake, while Conoil held a 50% stake as operator and a local firm held a 10% stake.
Mike Sangster, Senior Vice-President for Africa Exploration & Production at TotalEnergies, stated: “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.”
The deal underscores TotalEnergies’ ongoing commitment to Nigeria, following recent milestones like the Akpo West start-up in February 3024, Ubeta Final Investment Decision June 2024, and entry into PPL 2000/2001 deepwater exploration in August 2025.
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