Nigeria: Total announces the sale of its participating interest in the offshore OML 138

  Nigeria: Total announces the sale of its participating interest in the
  offshore OML 138

Business Wire

PARIS -- November 19, 2012

Regulatory News:

Total (Paris:FP) (LSE:TTA) (NYSE:TOT) announces that it has finalized an
agreement to sell its 20% contractor interest in OML 138 block to a wholly
owned subsidiary of China Petrochemical Corporation (Sinopec), for
approximately US$2.5 billion in cash (subject to post-closing adjustments).
The agreement is subject to approval by the Nigerian authorities.

The OML 138 block contains the Usan field which started production in February

“The transaction is aligned with Total’s active portfolio management. Usan
accounts for less than 10% of the Group’s equity production in Nigeria. This
sale of an asset operated from a minority position will allow us to focus our
resources on the material growth opportunities in Total’s portfolio,” said
Yves-Louis Darricarrère, President Upstream at Total.

The Nigerian National Petroleum Corporation (NNPC) is the OML 138 concession
holder. Other partners include Chevron Petroleum Nigeria Ltd. (30%),
EssoE&PNigeria (Offshore East) Ltd. (30%) and Nexen Petroleum Nigeria Ltd.

Total Exploration and Production in Nigeria

In 2012 Total celebrates fifty years of its presence in Nigeria. The Group’s
production in Nigeria was at 287,000 barrels of oil equivalent per day in

Deepwater developments are one of Total’s main growth avenues in Nigeria,
where the Group operates the Akpo field in OML 130 and is also preparing to
develop the Egina field in the same lease. Offshore production also comes from
OMLs 99, 100 and 102, which are operated by the Group as part of a
joint-venture with NNPC. The main fields in these leases are Amenam-Kpono,
Edikan and Ofon. Total recently commenced the second phase of the Ofon
development which is mostly intended to recover natural gas reserves. Ofon
phase 2 is a step forward in the Group’s plan to reduce its gas flaring and
greenhouse gas emissions.

Total’s onshore production comes from OML 58, which it also operates as part
of its joint-venture with NNPC. A project is underway to increase the lease’s
natural gas and condensate production capacity to supply the domestic market.

In addition, Total has significant equity production in Nigeria from its
interests in non-operated ventures, particularly the NNPC/SPDC joint venture
(10%) and SNEPCO operated PSC (12.5%), which includes the Bonga field. Total
also has a 15% interest in Nigeria LNG, whose liquefied natural gas production
capacity was increased to 21.9 million metric tons per year when Train 6 was
brought on stream in late 2007.

Total deploys an assertive local content policy, with locally worked hours
accounting for 60% and 90% respectively for Usan and OML 58 projects in
Nigeria. The Group is also helping nigerian contractors to build deepwater
expertise, especially in the Niger Delta, a region that is home to more than
half of Total’s Nigerian employees and most of its operations in the country.

Total is one of the largest integrated oil and gas companies in the world,
with activities in more than 130countries. The Group is also a first rank
player in chemicals. Its 96,000employees put their expertise to work in every
part of the industry – exploration and production of oil and natural gas,
refining and marketing, new energies, trading, and chemicals. Total is working
to help satisfy the global demand for energy, both today and tomorrow.


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