French energy company and leading lubricant maker TotalEnergies has completed new agreements with Conoil Producing, its long-standing partner.
Under the recently signed accords, Total will acquire a 50 per cent operated interest from Conoil in block OPL257, and the Nigerian business will take a participating interest of 40 per cent that Total held in block OML136. Both blocks are offshore assets in Nigeria.
Conoil was founded by Adenuga. Today, it is regarded as one of Nigeria’s leading independent exploration companies. While its portfolio of oil blocks includes sites at the Niger Delta, it also exports a new crude oil grade called the Obodo blend generated by operations onshore.
Following the new deal, the interest TotalEnergies has in OPL257 will increase to 90 per cent, with Conoil retaining the remaining 10 per cent. Block OPL257 features an oil discovery dating to 2005 on a structure called PP261. Next year, it is Total’s aim to drill at the block and create an appraisal well as part of a larger drilling campaign.
Commenting on the new agreements, Total mentioned that the proximity of the natural resources to Egina raises the possibility of using an existing floating production, storage and offloading vessel (FPSO) for a tie-back.
According to the French energy major, the recent transaction is aligned with the company strategy for Nigeria that focuses on offshore oil and operated gas assets and plans to fast-track opportunities for development. TotalEnergies also cited several moves as evidence of its ongoing investment in Nigeria, including offshore exploration activities conducted this year in August.
