Nigeria and French petroleum giants, TotalEnergies have signed a new deepwater oil contract.
The deal comes as Nigeria seeks to revitalize its upstream sector amid global energy transition pressures and declining investment in fossil fuels.
On Monday, September 1, 2025, Nigerian oil regulators stated that the deal covers petroleum prospecting licences 2000 and 2001, awarded during the 2024 licensing round, and spans about 2,000 square km (772 square miles) in the Niger Delta Basin. TotalEnergies holds an 80% contractor interest, while Sapetro holds 20%, the upstream oil regulator.
Gbenga Komolafe, Chief Executive of the Nigerian Upstream Petroleum Regulatory Commission says “This PSC signals the start of a committed work programme that will help us unlock the untapped geological potential of our deepwater, expand our reserves, boost production, and strengthen Nigeria’s energy security.”
According to the Commission, the contract includes provisions for signature and production bonuses, minimum work guarantees, profit-sharing, and compliance with host community development obligations. It also outlines environmental safeguards, including decommissioning and remediation funds.
Source:Africa Publicity