In a significant move within Nigeria's energy sector, French oil giant TotalEnergies has finalised an agreement to sell a substantial portion of its offshore interests to American major Chevron. The deal, announced on Monday, 2 December 2025, signals a fresh wave of portfolio adjustments among international oil companies operating in the country.
Details of the Strategic Divestment
TotalEnergies has agreed to transfer a 40 per cent stake in two key exploration licences located offshore Nigeria to Chevron. The assets involved are the PPL 2000 and 2001 licences situated in the hydrocarbon-rich West Delta basin. Following the sale, TotalEnergies will retain operatorship of the licences but will hold a reduced interest of 40 per cent.
Chevron's acquisition gives it a 40 per cent holding, matching TotalEnergies' remaining stake. The remaining 20 per cent interest is held by South Atlantic Petroleum (SAPETRO). This transaction effectively creates a new three-party joint venture designed to accelerate exploration activities and de-risk future development projects in the area.
Expanding a Global Partnership
This agreement extends the emerging offshore collaboration between TotalEnergies and Chevron. It comes just months after TotalEnergies acquired a 25 per cent working interest in a portfolio of 40 exploration blocks operated by Chevron in the U.S. Gulf of Mexico.
Nicola Mavilla, Senior Vice-President Exploration at TotalEnergies, commented on the strategic rationale. "After launching our joint venture in US offshore exploration in June, we’re delighted to now expand our collaboration to Nigeria to unlock new resources in the West Delta basin," Mavilla stated. He emphasised that the new venture aims to develop opportunities in alignment with Nigeria's national objectives.
Nigeria's Strategic Importance and Broader Sector Trend
TotalEnergies was quick to stress that Nigeria remains a cornerstone of its global portfolio. In 2024, the company's operations in Nigeria yielded 209,000 barrels of oil equivalent per day (boe/d), solidifying the country's position as one of TotalEnergies' most significant upstream hubs globally.
The company noted that this renewed exploration drive supports the Federal Government's efforts to reverse production declines, stabilise output amid challenges like theft and vandalism, and attract fresh capital into the sector.
This deal is part of a wider trend of international oil companies deepening their commitments in Nigeria's deep-water terrain. Notably, Shell recently completed the acquisition of an additional 10 per cent interest in the OML 118 Production Sharing Contract, increasing its stake in the Bonga field from 55 per cent to 65 per cent.
These strategic investments coincide with the launch of Nigeria's 2025 oil licensing round, now being managed directly by the Nigerian Upstream Petroleum Regulatory Commission (NUPRC). This move is seen as part of President Bola Tinubu's broader strategy to boost production, attract global investors, and grow the nation's economy toward a stated $1 trillion GDP target.
