TotalEnergies has sold a 40 percent stake in two offshore Nigerian exploration licences to Chevron, deepening a new strategic alliance between the companies.
The deal covers PPL 2000 and PPL 2001 in the West Delta basin. TotalEnergies will remain operator with 40 percent. Chevron takes 40 percent. South Atlantic Petroleum keeps 20 percent.
The acreage spans about 2,000 square kilometres. It was awarded in the 2024 licensing round run by the Nigerian Upstream Petroleum Regulatory Commission.
The farmout expands a partnership that began in June when TotalEnergies bought into Chevron-operated exploration blocks offshore the United States.
TotalEnergies said the Nigeria deal supports plans to de-risk and unlock new resources in a basin with a record of commercial discoveries.
Chevron gains access to a proven petroleum system in a country where its exploration footprint has been limited. The company has been seeking selective international expansion while keeping capital spending tight.
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Nigeria remains one of the few African states where major oil companies still pursue new exploration despite security concerns and regulatory delays that have pushed some rivals to exit.
TotalEnergies has operated in Nigeria for decades and manages several offshore assets. Retaining operatorship allows it to control project execution while sharing risk with Chevron.
The West Delta basin has delivered oil and gas finds across shallow, deep and ultra-deep waters. Developing the area requires high-cost drilling and advanced offshore capabilities.
South Atlantic Petroleum, the indigenous partner, stands to benefit from the technical depth and financial weight Chevron brings. Nigeria’s local-content rules encourage such partnerships.
Completion of the transaction depends on regulatory approval from Nigerian authorities. Reviews of this type often extend over several months.
The deal comes as global oil companies reassess African portfolios under energy-transition pressure. While others retreat, TotalEnergies and Chevron are consolidating positions in basins where they see competitive returns.
Financial terms were not disclosed. Analysts expect a structure involving upfront payment and future exploration commitments.
