Chevron set to exit JDX block

Offshore staff

PARIS-- Total has agreed to acquire Chevron’s 45.9% interest in block 1 in the Joint Development Zone (JDZ) in the Gulf of Guinea.

The JDZ is governed by a treaty signed by Nigeria and Sao Tomé and Principe in 2001 and is in force for 45 years. The transaction is subject to approval by relevant authorities.

Total will operate block 1 in partnership with Addax Petroleum, Dangote Energy Equity Resources, and Sasol Exploration and Production Nigeria.

The license covers an area of nearly 700 sq km (270 sq mi) in water depths ranging from 1,600-1,800 m (5,249-5,905 ft). It includes one discovery, the 2006 Obo-1 well.

Total says the proximity to its operated licenses and facilities offshore Nigeria should help development of the license’s resources. It adds that this acquisition is in line with its strategy of expanding its exploration and production operations in the Gulf of Guinea.

07/15/2010