(World Oil) – TotalEnergies has signed an agreement to merge its UK Upstream business with NEO NEXT, forming a newly expanded company—NEO NEXT+—that will become the largest independent oil and gas producer in the United Kingdom. The deal positions TotalEnergies as the new entity’s leading shareholder with a 47.5% ownership stake.
Following completion—expected in the first half of 2026 pending regulatory approvals—NEO NEXT+ will be jointly owned by TotalEnergies (47.5%), HitecVision (28.875%), and Repsol UK (23.625%). The enlarged company will bring together a broad suite of North Sea assets, including NEO Energy’s and Repsol UK’s interests in Elgin/Franklin, Penguins, Mariner, Shearwater, and Culzean, alongside TotalEnergies’ operated and non-operated positions in Alwyn North, Dunbar, and Culzean.
With a projected 2026 production of more than 250,000 boed, NEO NEXT+ will emerge as a major force in the UK Continental Shelf at a time when cost efficiency, operational consolidation, and production resilience remain central concerns for operators.
TotalEnergies Chairman and CEO Patrick Pouyanné said the merger reflects the company’s long-term commitment to the UK energy sector. “Our recognized track record as a leading North Sea operator—focused on low-cost, low-emissions development—will be instrumental in driving economies of scale and strengthening cash-flow generation across this expanded portfolio,” he said.
The companies expect the combined structure to unlock operational synergies, enhance financial returns, and reinforce energy security in the UK through a more resilient upstream platform.
