TotalEnergies EP Nigeria has completed the sale of its 12.5% non-operated interest in Nigeria’s OML 118 PSC to Shell Nigeria Exploration and Production and Nigerian Agip Exploration for a total consideration of USD 510 million, the companies announced on Tuesday.
Under the terms of the deal, first announced in May 2025, Shell acquires an additional 10% stake in OML 118, bringing its total equity participation to 65%. On its part, Agip takes an additional 2.5% to increase its participation to 15%. The remaining 20% will continue to be held by Esso Exploration and Production Nigeria.
OML 118 block is located approximately 120 kilometres offshore the Niger Delta in water depths exceeding 1,000 metres. Operated by Shell on behalf of the Nigerian National Petroleum Company, it is home to the Bonga field, which started producing in 2005, and the Bonga North field, where Shell reached a positive FID on development via subsea tieback to the Bonga FPSO in 2024.
OML 118 produces mostly oil and contributed approximately 11,000 boepd to TotalEnergies’ production in 2024.
TotalEnergies said the move aligns with its strategy to high-grade its upstream portfolio by focusing on low-cost, low-emission assets. The company is now concentrating on its operated gas and offshore oil operations in Nigeria, including the ongoing Ubeta gas project, which will supply to Nigeria LNG.
For Shell, the investment furthers goals to increase upstream production by 1% per year to 2030 and sustain the company’s liquids production of 1.4 million boepd.