On Monday, TotalEnergies announced the acquisition of 20% of Lewis Energy Group’s interest in the Dorado permits, currently 80% operated by EOG Resources in the Eagle Ford Basin, Texas. This strategic acquisition increases TotalEnergies’ natural gas production capacity, while strengthening its integration in the U.S. LNG value chain.
Impetus for gas production
With this transaction, TotalEnergies plans to increase its net gas production in the United States by 50 million cubic feet per day (Mcf/d) in 2024. In addition, the company envisages potential growth of a further 50 Mcf/d by 2028. By 2023, TotalEnergies’ total natural gas production in the United States was around 340 Mcf/d.
Strengthening the LNG portfolio
Nicolas Terraz, General Manager Exploration-Production at TotalEnergies, commented that this acquisition strengthens the company’s natural gas production in the United States and enriches its integrated LNG portfolio, ensuring a supply with low technical costs and low emissions.
Confirmation of leadership in LNG
TotalEnergies is the leading exporter of LNG in the United States, with more than 10 million metric tons (Mt) to be exported by 2023. The company attributes this success to its 16.6% stake in the Cameron LNG liquefaction plant in Louisiana, as well as several long-term purchase contracts. The company plans to reach an export capacity of 15 Mt/year by 2030, following the start-up of the first phase of the Rio Grande LNG project in Texas.
With this significant expansion in the United States, TotalEnergies strengthens its position as world leader in the LNG sector, aligning itself with the growing demand for clean and renewable energies, while reinforcing its operations and autonomy in natural gas production.
