French energy giant TotalEnergies SE has entered into a new agreement to divest its 10 per cent non-operated interest in Nigeria’s onshore oil assets formerly operated by Shell Petroleum Development Company (SPDC), now known as the Renaissance Joint Venture (JV), signaling renewed momentum in its strategy to exit ageing and high-risk upstream assets in the Niger Delta.
The company said on Wednesday, according to Reuters, that it has entered into a sale and purchase agreement with Vaaris Resources JV Co. Limited, a newly incorporated Nigerian company, reviving a transaction that collapsed last year when talks with Mauritius-based Chappal Energies failed.
In addition to the SPDC stake, the report further disclosed that transaction also covers TotalEnergies’ interests in three other licences that primarily produce gas for Nigeria LNG (NLNG). TotalEnergies clarified, however, that it will retain full economic interest in those gas assets, reflecting its continued commitment to gas as a core transition fuel in Nigeria.
Corporate registration records show that Vaaris Resources JV Co. Limited was incorporated in Nigeria on December 22, 2025. TotalEnergies did not disclose the financial terms of the deal or provide further details on the buyer.
Reuters further reports that the latest agreement comes on the heels of the failed $860 million Chappal Energies transaction in 2025, which collapsed after regulatory hurdles stalled the deal, after Nigerian authorities raised concerns over the buyer’s ability to finance the acquisition. The setback underscored the heightened regulatory scrutiny surrounding oil and gas divestments and slowed TotalEnergies’ plan to shed mature, emissions-heavy assets while reducing debt.
Nigeria’s onshore SPDC assets have faced persistent operational and environmental challenges, including widespread oil theft, pipeline vandalism and repeated spills, which have resulted in costly clean-up operations and prolonged legal disputes. These issues have increasingly pushed international oil companies to reconsider their exposure to onshore operations in the Niger Delta.
In a similar divestment move, Shell last year sold its 30 per cent stake in SPDC to a consortium of five predominantly Nigerian companies in a deal valued at up to $2.4 billion, reinforcing the ongoing shift of onshore oil assets from international majors to indigenous operators.
Under the current Renaissance JV ownership structure, NNPC Ltd. holds a 55 per cent controlling interest, Shell retains 30 per cent, TotalEnergies owns 10 per cent, while Italy’s Eni holds the remaining 5 per cent stake.
The transaction remains subject to approval by Nigerian regulators, a critical step that will determine whether TotalEnergies can finally complete its exit from the onshore SPDC assets.
If approved, the deal would mark another milestone in the gradual retreat of international oil majors from Nigeria’s onshore oil sector, as they pivot toward gas, deep offshore projects and lower-carbon energy investments.
TotalEnergies signs a new deal to sell its 10% stake in Nigeria’s onshore SPDC (Renaissance JV) assets to Vaaris Resources after a failed $860m sale, pending regulatory approval.
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