Chevron, TotalEnergies Advance Nigeria Offshore Plans

Why It Matters

Accelerating drilling and infill programs seeks to reverse a steep production decline in Nigeria’s deep‑water sector, preserving revenue for international operators and supporting the country’s oil‑export earnings.

Key Takeaways

• Meren moves Ikija/Agbami drilling to Q4 2024, ahead of 2027 schedule.
• Nigerian deep‑water output fell 20% YoY to 352,000 b/d.
• Six Agbami infill wells slated for 2027‑2028 to boost production.
• TotalEnergies to drill Akpo Far East, targeting 144 mn boe, H2 2024.
• Egina and Akpo infill restarts aim to offset declining condensate output.

Pulse Analysis

Nigeria’s offshore sector, once a growth engine for the country’s oil revenue, is now grappling with a sharp production dip. Data from the upstream regulator NUPRC shows deep‑water output from the seven international leases fell to 352,000 barrels per day in the first four months of 2026, a 20% decline from the same period last year. The slowdown reflects aging infrastructure, maintenance shutdowns, and limited new discoveries, prompting operators to explore cost‑effective ways to sustain output without large‑scale field development.

In response, Canadian‑based Meren Energy has fast‑tracked its drilling agenda on the Chevron‑operated Ikija and Agbami fields. By moving appraisal and infill activities into Q4 2024, Meren hopes to stabilize Agbami’s condensate flow, which dropped to 63,000 barrels per day, and lay the groundwork for a 2032 first‑oil target at Ikija via a tie‑back to the existing FPSO. The six planned Agbami infill wells for 2027‑2028 are designed to incrementally lift production, offering a pragmatic path to recover lost volumes while deferring the capital intensity of greenfield projects.

TotalEnergies is also sharpening its offshore strategy, mobilising a rig for the Akpo Far East well in the second half of the year. The prospect, estimated at 144 million barrels of oil equivalent, will leverage the Akpo FPSO and complement ongoing infill campaigns at Akpo and Egina, which have seen output fall 18% and 25% respectively. By restarting these infill programs and adding new appraisal wells, TotalEnergies aims to offset the production slump and secure a more resilient supply chain for Nigeria’s export market, underscoring the broader industry shift toward incremental development in mature basins.