TotalEnergies has reached an agreement to merge its UK upstream operations with NEO NEXT Energy Limited, creating a newly expanded company to be renamed NEO NEXT+ in a deal expected to close in the first half (H1) of 2026.
Under the terms of the transaction, TotalEnergies will become the largest shareholder in NEO NEXT+ with a 47.5% stake, alongside partners HitecVision (28.875%) and Repsol UK (23.625%), according to a press release by TotalEnergies.
The consolidated entity is projected to become the largest independent oil and gas producer in the UK, targeting production of more than 250,000 barrels of oil equivalent per day (boe/d) in 2026.
The new company will hold a diversified offshore portfolio, including interests in major North Sea assets such as Elgin/Franklin, Culzean, Penguins, Mariner, Shearwater, Alwyn North, and Dunbar. The merger remains subject to regulatory approvals and customary closing conditions.
TotalEnergies has operated in the UK for over 60 years, managing significant offshore oil and gas production on the UK Continental Shelf. As of 2024, the company produced approximately 121,000 boe/d and supplied roughly 27-30% of the country’s gas output.
