MORGANABLE BUSINESS / ENERGY & INDUSTRY
TotalEnergies has completed the sale of its 10% non-operated interest in Nigeria’s Renaissance joint venture to Vaaris for $800 million.
Akure —
TotalEnergies has completed the sale of its 10% non-operated interest in Nigeria’s Renaissance joint venture to Vaaris for $800 million. The French energy company confirmed the transaction on October 27, 2026, through its subsidiary, TotalEnergies EP Nigeria.
The deal follows an agreement announced in January and transfers the company’s interest in licences that mainly produce oil.
However, TotalEnergies is not leaving Nigeria’s energy sector. It will retain its full economic interest in three gas licences linked to the venture: OML 23, OML 28 and OML 77.
Those licences currently account for about 50% of the gas supplied to Nigeria LNG, according to the company. This allows TotalEnergies to reduce its exposure to certain onshore oil assets while maintaining a position in the gas supply chain.
The sale covers TotalEnergies’ 10% interest in 15 Renaissance joint venture licences that primarily produce oil.
The company said its subsidiary transferred the participating interest, together with associated rights and obligations, to Vaaris. TotalEnergies’ share of production from the licences averaged approximately 16,000 barrels of oil equivalent per day in 2025.
This represents its attributable share, not the venture’s total output. The licences are located onshore and in shallow waters, where operators must maintain facilities and transport systems to move crude safely.
The company also transferred its 10% participating interest in the three gas-focused licences to Vaaris. Nevertheless, TotalEnergies will retain the full economic benefit from those assets.
This distinction matters because legal ownership and economic rights do not always move together.
This gives the company continued exposure to gas production without retaining the same participating interest in those licences.
The Renaissance joint venture holds 18 licences in the Niger Delta. Its partners include Nigerian National Petroleum Company Limited, with 55%; Renaissance Africa Energy Company, with 30% and the operating role; TotalEnergies EP Nigeria, with 10%; and Agip Energy and Natural Resources Nigeria, with 5%.
The venture was previously known as the Shell Petroleum Development Company joint venture. Shell sold its 30% interest to a consortium led by Nigerian companies in 2025.
The transaction is part of a wider shift in Nigeria’s onshore oil industry. International energy companies have been selling mature onshore assets to local investors while directing capital towards other projects, including offshore production and natural gas.
These deals change who must operate fields, maintain infrastructure and manage environmental risks.
Operating onshore fields in the Niger Delta can involve significant challenges. Oil theft, pipeline sabotage, spills and ageing infrastructure have disrupted production and increased costs for years.
These problems can also create legal disputes, cleanup obligations and tensions with communities. A change in ownership alone does not resolve those underlying issues.
The transaction follows an earlier attempt to sell the same interest to Chappal Energies. TotalEnergies agreed in 2024 to sell the stake for a reported $860 million, but that deal failed after concerns about the buyer’s ability to meet its financial commitments.
Nigerian regulators later withdrew approval. The new agreement with Vaaris was announced in January 2026 and has now reached completion, according to TotalEnergies.
The completed sale price is $60 million below the amount reported for the earlier proposal. However, the figures relate to separate transactions, and TotalEnergies has not provided a detailed breakdown of the final deal’s financial terms. The confirmed amount for the Vaaris transaction is $800 million.
Vaaris has acquired the interest, but public information about the consortium remains limited.
Reuters reported in January that Vaaris was the proposed buyer and that its Nigerian subsidiary had been incorporated in December 2025.
TotalEnergies’ completion announcement names Vaaris but does not detail its ownership or financing.
For TotalEnergies, the sale does not represent a full exit from Nigeria. The company has operated in the country for more than 60 years and remains active across several energy businesses.
It reported Nigerian hydrocarbon production of 188,000 barrels of oil equivalent per day in 2025. It also operates around 540 service stations, according to its statement.
Its continued economic interest in OML 23, OML 28 and OML 77 is important to Nigeria LNG. Gas from these licences supports the production of liquefied natural gas for export markets.
LNG is natural gas cooled into liquid form so companies can transport it by ship. Reliable supply matters to the plant’s operations and Nigeria’s role in international energy markets.
Other international partners are also reshaping their positions in the Renaissance venture. Eni completed the sale of its 5% interest, held through Agip Energy and Natural Resources Nigeria, to Apex Global Energy on October 26, 2026, according to recent industry reports.
Apex is associated with Sterling Oil Exploration and Energy Production Company. These transactions signal further changes in ownership of the venture’s onshore oil interests.
The impact will depend on what the new owners do next. The licences may require investment in wells, pipelines, flow stations, maintenance and security to sustain or improve production.
Observers will also watch how operators manage spills, prevent theft and work with communities.
For Nigeria, transferring assets to domestic operators may deepen local participation in the petroleum industry. Nigerian companies can build experience, develop technical skills and retain more value within the country.
However, ownership changes do not automatically guarantee higher production, better environmental performance or increased revenue. Those outcomes depend on funding, competent management and effective regulation.
The $800 million transaction completes TotalEnergies’ sale of its oil interest while preserving its economic exposure to three gas licences. It also gives Vaaris a larger role in the Renaissance venture’s oil assets.
The next issues to watch are how the new ownership affects production and whether the retained gas interests continue to support Nigeria LNG’s supply.
