TotalEnergies has agreed to acquire a 45% interest in dry gas-producing assets in the Eagle Ford basin in Texas from Lewis Energy Group.
This strategic move is aimed at bolstering TotalEnergies' position across the US gas value chain.
Financial terms of the deal were not disclosed.
Located in south-west Texas, the assets are expected to achieve sustainable gross production of approximately 400mcf/d by 2028.
The latest acquisition marks TotalEnergies' continued expansion in the US natural gas sector and follows the earlier purchase of a non-operated interest in the Dorado asset, also in the Eagle Ford basin, from Lewis Energy Group earlier this year.
In April 2024, TotalEnergies agreed to acquire the 20% stake in Dorado leases operated by EOG Resources (80%) in the Eagle Ford shale gas play from Lewis Energy Group, to increase its natural gas production capacity in Texas.
TotalEnergies said it maintains a technical production rate of around 500mcf/d in the Barnett region.
TotalEnergies exploration & production president Nicolas Terraz said: “This acquisition further strengthens our upstream gas position in the United States and contributes to our integrated LNG [liquefied natural gas) position with a low-cost upstream gas supply.
“We are delighted to partner with Lewis Energy Group, a well-renowned and highly efficient gas operator with an historical footprint in South Texas.”
In 2023, the company exported more than ten million tonnes (mt). This is largely attributed to its 16.6% stake in the Cameron LNG plant in Louisiana and several long-term purchasing agreements.
TotalEnergies' US LNG export capacity is projected to increase to 15mt per year by 2030, further solidifying its leadership in the global LNG market.
