French energy major TotalEnergies has announced a significant divestment. The company sold a 40% stake in its Nigerian offshore exploration licenses. The buyer is Star Deep Water Petroleum Limited, a subsidiary of US major Chevron. This crucial transaction was confirmed recently.

TotalEnergies will continue to operate the blocks. It will also maintain its 40% stake. Their long-term partner, South Atlantic Petroleum, holds the remaining 20%. This new joint venture reinforces TotalEnergies’ global offshore collaboration with Chevron.

Both companies recently expanded their cooperation. This included new US offshore exploration leases. TotalEnergies’ Senior Vice-President for Exploration, Nicola Mavilla, commented on the deal. He stated it aligns with Nigeria’s strategic objectives for offshore development.

Mavilla added that the venture aims to “de-risk and develop new opportunities in Nigeria.” This move is fully in line with the country’s goals.

Nigeria’s Economy Shows Clear Recovery Signs

Meanwhile, Nigeria’s economic climate is showing clear signs of recovery. This is according to Olayemi Cardoso, Governor of the Central Bank of Nigeria (CBN). He indicated the country has entered a more stable phase. This follows two years of extensive monetary reforms.

Governor Cardoso addressed bankers and financial leaders in Lagos. He spoke at the 60th Annual Bankers Dinner of the Chartered Institute of Bankers of Nigeria. There, he declared Nigeria had “turned a decisive corner” in its reform journey.

Key indicators point to an economy regaining balance. These include easing inflation and a steadier foreign exchange market. Stronger investor confidence is also evident.

The CBN’s embrace of orthodox monetary policy has been crucial. Firmer regulatory oversight is also correcting economic distortions. These issues had long burdened the economy.

Inflation, which previously peaked at 34.6 per cent, has dropped significantly. It fell to 16.05 per cent as of recent data. Food inflation also decreased to 13.12 per cent, after nearing 22 per cent earlier. Cardoso affirmed the CBN will keep adjusting policy instruments. The goal is to guide inflation towards single-digit levels.

A major part of his review focused on the foreign exchange market. Cardoso confirmed the CBN fully settled the multi-billion-dollar FX backlog. This backlog was inherited by the current administration. It was previously estimated at over seven billion dollars.

Clearing these arrears has restored crucial confidence. Foreign airlines, manufacturers, and portfolio investors are now more optimistic.