TotalEnergies strengthens ties with Chevron by expanding US oil & gas offshore footprint

France’s energy giant TotalEnergies has decided to enlarge its American oil and gas portfolio by acquiring interests in 40 exploration blocks that the U.S.-headquartered Chevron currently operates.  

While disclosing the acquisition of a 25% working interest in a portfolio of exploration leases from Chevron, TotalEnergies explained that the 40 Outer Continental Shelf (OCS) federal leases span approximately 1,000 square kilometers.

This transaction is said to provide access to multiple offshore exploration plays and prospects, strengthening the French player’s U.S. offshore collaboration with Chevron beyond the existing partnerships in Ballymore (40% TotalEnergies), which achieved first production this year, Anchor (37.14%) where production started last year, and the Jack (25%) and Tahiti (17%) producing assets.

Kevin McLachlan, Senior Vice-President Exploration, commented: “This transaction is in line with our consistent strategy of filling our Exploration portfolio with low cost and low emissions options, and will significantly expand TotalEnergies’ Offshore U.S. exploration acreage, combining a wide range of geological plays and prospectivity.

“Building on the momentum of the recent Ballymore and Anchor startups, we are very pleased to expand our successful partnership with Chevron, and we expect to mature Exploration drill decisions on these blocks utilizing advanced 3D imaging technology to unlock large remaining U.S. Offshore production potential.”

Located 175 to 330 kilometers from shore, these offshore blocks encompass 13 blocks in the Walker Ridge area, 9 blocks in the Mississippi Canyon area, and 18 blocks in the East Breaks area.

Aside from oil and gas exploration, TotalEnergies is actively pursuing artificial intelligence (AI) to accelerate its multi-energy strategy, boosting low-carbon energies, thanks to a deal with Mistral AI.