Shell Nigeria Exploration and Production Company (SNEPCo), yesterday confirmed its interest to acquire TotalEnergies’ 12.5 per cent stake in deepwater Bonga Field. Sources said that an agreement has already been signed by the two parties.

However, the transaction is subject to regulatory approvals and other closing conditions and is expected to be completed before the end of this year.

Shell confirmed the divestment in a statement, explaining that the transaction, when completed, will increase its interest in the OML 118 PSC from 55% to 67.5 per cent. Shell’s President, Upstream, Peter Costello, said:

“Following our final investment decision on Bonga North last year, this acquisition brings another significant investment in Nigeria’s deep-water that contributes to sustained liquids production and growth in our Upstream portfolio.”

The stake is in the OML 118 Production Sharing Contract (OML 118 PSC), an oil mining lease offshore Nigeria that includes the Bonga field.