TotalEnergies acquires stake in 40 Chevron offshore blocks in US

French oil major TotalEnergies has acquired a 25 per cent interest in a Chevron-operated portfolio of 40 federal exploration leases offshore the US, in the Gulf of Mexico, it said on Monday. The outer continental shelf leases include 13 blocks in the Walker Ridge area, nine blocks in the Mississippi Canyon area and 18 blocks in the East Breaks area.

The company said the acquisitions will bolster its target to increase production of low-cost, "low-emissions" oil and gas by three per cent annually through 2030.

Total already has minority stakes in four offshore oil and gas fields operated by the Texas-based Chevron in the Gulf of Mexico. While the French oil major is the single largest purchaser and exporter of US liquefied natural gas, with more than 10 million tonnes under long-term contract annually, it has largely preferred buying that gas from local producers.

Last year, Total purchased stakes in two Texas upstream shale fields from Lewis Energy Group, so that the company would have direct access to gas at the US Henry Hub benchmark price in case LNG export costs rose.

(Reporting by America Hernandez in Paris, Editing by Louise Heavens, Alexandra Hudson)