After Failed Chappal Deal, TotalEnergies to Sell 10% of Nigerian Stake to New Buyer

Emmanuel Addeh in Abuja  and Peter Uzoho in Lagos

French major, TotalEnergies, yesterday announced that it had signed a Sale and Purchase Agreement (SPA) to sell its 10 per cent non-operated stake in the Nigerian onshore oil asset formerly owned by SPDC, now renamed Renaissance.

The asset will now be sold to Vaaris, it said. The transaction is coming after a failed sale last year to Mauritius-based Chappal Energies.

Last year, the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) said it had blocked Total’s initial $860 million deal with Chappal Energies for the SPDC stakes, due to the buyer’s inability to eventually raise the needed funds.

“The ministerial consent was accompanied by certain financial obligations to the Nigerian people with strict deadlines. However, both parties failed to meet their financial commitments after repeated extensions, forcing the commission to cancel the deal,” the NUPRC said at the time.

But yesterday’s statement from TotalEnergies said the fresh deal with Vaaris includes stakes in three other licences producing mainly gas for Nigeria LNG, in which it will retain full economic interest.

“TotalEnergies announces that its subsidiary TotalEnergies EP Nigeria has signed a Sale and Purchase Agreement (SPA) with Vaaris for the sale of its 10 per cent non-operated interest in the Renaissance JV licenses in Nigeria.

“The Renaissance JV, formerly known as the SPDC JV, is an unincorporated joint venture between Nigerian National Petroleum Corporation Ltd (55 per cent), Renaissance Africa Energy Company Ltd (30 per cent, operator), TotalEnergies EP Nigeria (10 per cent) and Agip Energy and Natural Resources Nigeria (5 per cent), which holds 18 licenses in the Niger Delta.

“Under the agreement signed with Vaaris, TotalEnergies EP Nigeria will sell to Vaaris its 10 per cent participating interest and all its rights and obligations in 15 licenses of Renaissance JV, which are producing mainly oil.

“Production from these licenses represented approximately 16,000 barrels equivalent per day in company share in 2025. TotalEnergies EP Nigeria will also transfer to Vaaris its 10 per cent participating interest in the 3 other licenses of Renaissance JV which are producing mainly gas (OML 23, OML 28 and OML 77), while TotalEnergies will retain full economic interest in these licenses which currently account for 50 per cent of Nigeria LNG gas supply,” the statement added.

However, the French major noted that the deal is still subject to approval by Nigerian regulators. “Closing is subject to customary conditions, including regulatory approvals,” it stressed.

TotalEnergies has been present in Nigeria for more than 60 years and employs today more than 1,800 people across different business segments. Nigeria is one of the main contributing countries to TotalEnergies’ hydrocarbon production with 209,000 bpd produced in 2024.

The company also operates an extensive distribution network which includes about 540 service stations in the country.

In all its operations, TotalEnergies said it is particularly attentive to the socio-economic development of the country and is committed to working with local communities.

Renaissance Africa Energy Company Limited is a consortium of four Nigerian independent energy companies, including FIRST E&P, Aradel Holdings, Waltersmith and ND Western, as well as one international oil company, Petrolin.

Renaissance came to the limelight when it bought the formerly SPDC oil and gas assets at a record $2.4 billion consideration in December 2024.

TotalEnergies continues its portfolio reshuffling in Nigeria after key milestones achieved in 2025, focusing on operated assets:  entry in Petroleum Prospecting Licenses (PPL)2000/2001 offshore exploration in August 2025, the increase of stakes in Oil Prospecting License (OPL)257 and the sale of non-operated Oil Mining Lease (OML)118 both in November 2025.