- Talos Energy will sell its carbon capture and sequestration unit to French firm TotalEnergies.
- The firm intends to use the proceeds from the sale to repay borrowings under its credit facility immediately.
US oil and gas producer Talos Energy said it will sell its carbon capture and sequestration unit to French firm TotalEnergies for about $148 million.
This includes its three projects along the U.S. Gulf Coast. The oil and gas producer intends to use the proceeds from the sale to immediately repay borrowings under its credit facility and other corporate purposes, it said in a statement.
The firm will get additional future cash payments upon achievement of certain milestones or a subsequent sale of these projects by TotalEnergies.
CEO Timothy Duncan said the transaction will further enable Talos to prioritize cash flow generation and optimal capital allocation in our core Upstream business.