TotalEnergies Inks Another Eagle Ford Basin Deal, Exec Says Stake Purchase 'Strengthens Upstream Gas Position'

TotalEnergies SE TTE shares are trading higher premarket Friday. The company reached an agreement with Lewis Energy Group to acquire a 45% stake in its dry gas-producing assets in Texas’ Eagle Ford basin for an undisclosed amount.

Terms of the deal were not disclosed.

The acquisition of low-cost, long-life assets enhances TotalEnergies’ presence in the U.S. gas value chain and follows the company’s Texas Dorado acquisition in April 2024.

This marks TotalEnergies’ second acquisition of non-operated shale gas assets in 2024, following the purchase of a non-operated interest in the Dorado asset, also in the Eagle Ford basin.

Additionally, TotalEnergies operates approximately 500 Mcf/d of technical production in the Barnett region.

"This acquisition further strengthens our upstream gas position in the United States and contributes to our integrated LNG position with a low cost upstream gas supply", said TotalEnergies President Nicolas Terraz.

This week, TotalEnergies signed a deal with HD Hyundai Chemical for 200,000 tons of LNG annually starting in 2027.

Also, TotalEnergies signed a 10-year agreement to supply Air France-KLM with 1.5 million tons of sustainable aviation fuel (SAF) through 2035.

Investors can gain exposure to the stock via Advisor Managed Portfolios Miller Value Partners Appreciation ETF MVPA and Octane All-Cap Value Energy ETF OCTA.

Price Action: TTE shares are up 0.84% at $66.22 premarket at the last check Friday.

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