TotalEnergies to take 50% of OPL257 from Nigerian billionaire Mike Adenuga’s Conoil

Conoil Producing, the oil exploration outfit of Nigerian telecom and oil billionaire Mike Adenuga, has agreed to sell a 50 percent operated interest in block OPL257 to global energy company TotalEnergies. The swap deal, structured to create value for both parties, will also allow Conoil to acquire TotalEnergies’ 40 percent participating interest in block OML136.

Conoil retains 10 percent in OPL257

OPL257, covering roughly 370 square kilometers about 150 kilometers off the Nigerian coast, includes an oil discovery made in 2005 on the adjacent PP261 structure. After the transaction—pending regulatory approvals and customary conditions—TotalEnergies will hold a 90 percent stake in OPL257, leaving Conoil with the remaining 10 percent. The block sits next to PPL261, where TotalEnergies and partners discovered the Egina South field in 2005. The company plans to drill an appraisal well in 2026 to move the discovery toward production.

“This transaction, built on our partnership with Conoil, will enable TotalEnergies to proceed with the appraisal of the Egina South discovery, an attractive tie-back opportunity for Egina FPSO,” said Mike Sangster, Senior Vice President for Africa Exploration & Production at TotalEnergies. “This fits with our strategy to leverage existing production facilities to profitably develop additional resources and to focus on our operated gas and offshore oil assets in Nigeria.”

The deal follows a high-profile production agreement signed in Paris last week between Conoil and TotalEnergies. The contract was signed at TotalEnergies’ headquarters in La Défense by Conoil Chairman Mike Adenuga Jr., a Commander of the French Légion d’Honneur, and TotalEnergies CEO Patrick Pouyanné.

Conoil’s bold step in oil sector

Conoil has been expanding its operations across Nigeria’s energy sector. Earlier this month, the company deployed the Imperial drilling rig at OML150, marking the start of a three-year campaign to increase production of the Obodo crude blend while improving reservoir efficiency. It follows an extended partnership with Dubai-based Shelf Drilling Ltd., Conoil’s longtime offshore contractor, with a contract running through 2027 and an option for an additional year.

In May, Conoil achieved another milestone by exporting Nigeria’s newest crude oil blend, the Obodo blend, a medium sweet crude from OML150. The launch marked a new chapter for the country’s oil industry and highlighted Adenuga’s role in developing Nigeria’s onshore and offshore oil assets. Conoil now manages six oil blocks across the Niger Delta further reinforcing its presence as a top player in Nigeria’s energy sector.