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Total to sell USD400 million in non-core assets

Total to sell USD400 million in non-core assets
Photo courtesy of Total

In line with its strategy of actively managing its asset portfolio and its objective to divest USD5 billion in 2019-2020, French energy major Total is pursuing the divestments of several non-core assets in Brunei, Sierra Leone and Liberia. These divestments represent a global value of more than USD400 million.

Brunei – Sale of Interest in Offshore Block

Following the approval of the competent authorities, Total has closed the sale to Shell of its wholly owned subsidiary Total E&P Deep Offshore Borneo BV, which holds an 86.95% interest in Block CA1. Total was the operator of the block, alongside partners Murphy Oil (8.05%) and Petronas (5%). The production of this block was 5 thousand barrels of oil equivalent per day (kboe/d) net to Total in 2019.

Sierra Leone and Liberia – Sale of Marketing & Services Businesses

Total has signed an agreement to sell its marketing and services businesses in Liberia and Sierra Leone to Conex Oil & Gas Holdings Ltd., a regional player in petroleum products import, distribution and supply chain management in West Africa. It consists of a network of 63 service stations, general trade fuel sales and petroleum products import and storage operations.

The sale of these two affiliates is expected to be completed in the second quarter of 2020.

โ€œThese sales will contribute to Totalโ€™s ongoing divestment program and demonstrate our ability to relentlessly highgrade our portfolio,โ€ said Jean-Pierre Sbraire, chief financial officer of Total. โ€œIn the current context of low oil prices, these transactions support the action plan announced to weather the crisis.โ€