TotalEnergies Makes Historic Return to Nigerian Waters After Decade-Long Absence
In a groundbreaking development that marks Nigeria’s most significant offshore energy milestone in over a decade, French energy giant TotalEnergies has secured two major exploration permits in Nigerian waters, becoming the first international oil company to win new deepwater assets since 2015. The Production Sharing Contract (PSC) for PPL 2000 and PPL 2001 exploration licenses was officially signed at the Nigerian Upstream Petroleum Regulatory Commission headquarters in Abuja, with TotalEnergies holding an 80% operator stake alongside South Atlantic Petroleum’s 20% share.
The historic agreement covers approximately 2,000 square kilometers in the prolific West Delta basin, with TotalEnergies committing to drill one firm exploration well as part of their work program. Kevin McLachlan, Senior Vice-President Exploration at TotalEnergies, hailed the achievement as “a new milestone in our long-term partnership with Nigeria,” emphasizing the blocks’ alignment with the company’s strategy of strengthening exploration portfolios with drill-ready, high-impact prospects.
The deal represents the first PSC to comprehensively cover both crude oil and natural gas exploration and production, featuring robust gas terms including profit gas provisions that incentivize monetization of non-associated gas. NNPC Group CEO Bayo Ojulari described the ceremony as “a powerful testament to the success of the Petroleum Industry Act (PIA) 2021” and a clear signal to global investors that Nigeria is open for business.
Source: worldoil.com, offshore-energy.biz, premiumtimesng.com
