TotalEnergies completes UK North Sea merger, creating largest independent producer

(WO) - TotalEnergies has completed the merger of its UK North Sea upstream assets with NEO NEXT, forming a new entity—NEO NEXT+—that is set to become the largest independent oil and gas producer on the UK Continental Shelf (UKCS).

Under the transaction, TotalEnergies will hold a 47.5% stake in the combined company. NEO NEXT+ is expected to deliver production exceeding 250,000 boed in 2026, marking a significant consolidation move in one of the world’s most mature offshore basins.

The deal brings together a broad portfolio of producing assets and infrastructure, positioning the new company to optimize operations, enhance efficiencies and strengthen long-term cash flow generation across the UKCS.

“The completion of this merger and the creation of NEO NEXT+ marks an important step in TotalEnergies’ long-term commitment to the UK oil and gas sector,” said Patrick Pouyanné, Chairman and CEO of TotalEnergies. “While contributing to the country’s energy supply, the size and asset portfolio of NEO NEXT+ will foster synergies and enhance the cash flow generation of the company. As the new largest shareholder of NEO NEXT+, we are pleased to bring our extensive UK North Sea operational experience to the new company.”

The merger reflects a broader trend of consolidation in the North Sea, as operators seek to scale portfolios, reduce costs and maximize recovery from mature assets. By combining complementary operations and technical capabilities, NEO NEXT+ is expected to play a central role in sustaining UK offshore production while improving capital efficiency.