Global integrated energy firm TotalEnergies has sold its 10% interest in the Shell Petroleum Development Company of Nigeria Joint Venture (SPDC JV) to Mauritian-based global oil and gas company Chappal Energies. The transaction was concluded at a cost of $860 million.
Under the terms of the transaction, Chappal Energies will assume a 10% participating interest in SPDC JV, including all rights and obligations associated with the 15 oil licenses in which it owns. The licenses produce approximately 14,000 barrels of oil per day. Additionally, Chappal Energies will assume a 10% interest in the OML 23, 28 and 77 gas licenses, which contribute 40% of Nigeria’s LNG supply. TotalEnergies will retain full economic interest in these three licenses.
According to Nicolas Terraz, President: Exploration & Production at TotalEnergies, “the divestment of our interest in the SPDC JV licenses allows us to focus our onshore Nigeria presence solely on the integrated gas value chain and is designed to ensure the continuity of feed gas supply to Nigeria LNG in the future.”
