TotalEnergies Divests 10% Interest in Nigerian Renaissance Joint Venture to Vaaris

TotalEnergies Sells Stake in Renaissance JV

TotalEnergies EP Nigeria, a subsidiary of the French energy major TotalEnergies, has officially signed a Sale and Purchase Agreement (SPA) with Vaaris for the divestment of its 10% non-operated interest in the Renaissance Joint Venture (JV) licenses in Nigeria. The agreement, announced on January 14, 2026, involves a total consideration of $800 million. The transaction is contingent upon customary closing conditions, including obtaining all necessary regulatory approvals.

Details of the Renaissance Joint Venture

The Renaissance JV, formerly recognized as the Shell Petroleum Development Company (SPDC) JV, is an unincorporated joint venture that holds 18 licenses situated across the Niger Delta region. The partnership comprises several key entities: Nigerian National Petroleum Corporation Ltd (NNPC) with a 55% stake, Renaissance Africa Energy Company Ltd holding 30% and serving as the operator, TotalEnergies EP Nigeria with its now divested 10% interest, and Agip Energy and Natural Resources Nigeria with 5%.

Scope of the Divestment and Asset Transfer

Under the terms of the agreement, TotalEnergies EP Nigeria will sell its 10% participating interest and all associated rights and obligations in 15 oil-producing licenses within the Renaissance JV to Vaaris. These oil assets contributed approximately 16,000 barrels equivalent per day (boe/d) to TotalEnergies' share in 2025. Additionally, TotalEnergies will transfer its 10% participating interest in three gas-producing licenses, specifically OML 23, OML 28, and OML 77, to Vaaris. Crucially, TotalEnergies will retain full economic interest in these gas licenses, which are vital as they currently account for 50% of Nigeria LNG's gas supply.

Strategic Context and Previous Attempts

This divestment is part of TotalEnergies' ongoing strategy to rationalize its portfolio and concentrate on operated assets, particularly in offshore and gas sectors, while exiting mature onshore assets. This current agreement with Vaaris follows a previous attempt by TotalEnergies to sell the same stake to Chappal Energies for an estimated $860 million, which ultimately failed. Nigerian regulators reportedly blocked the earlier transaction due to concerns regarding the buyer's financial capacity. Vaaris Resources JV Co. Limited, the acquiring entity, was incorporated in Nigeria on December 22, 2025, and is described as a consortium of Nigerian oil and gas players.

TotalEnergies' Continued Presence in Nigeria

Despite this divestment, TotalEnergies has reaffirmed its long-term commitment to Nigeria, where it has maintained a presence for over 60 years. The company employs more than 1,800 people across various business segments and contributed 209,000 boe/d to its global hydrocarbon production in 2024. TotalEnergies also operates an extensive distribution network, including approximately 540 service stations across the country.