Talos Energy to sell low carbon solutions unit to TotalEnergies
Talos Energy has agreed to sell its wholly owned subsidiary, Talos Low Carbon Solutions, to TotalEnergies for $125 million. Adding customary reimbursements, adjustments and cash retention, the combined total rises to approximately $148 million.
The sale includes its entire carbon capture and sequestration (CCS) business, including its three projects along the US Gulf Coast: Bayou Bend CCS LLC, Harvest Bend and Coastal Bend. Talos may realize additional future cash payments upon achievement of certain milestones at the Harvest Bend or Coastal Bend projects or upon a subsequent sale of these projects by TotalEnergies.
Robin Fielder, Talos Executive VP, Low Carbon Strategy and Chief Sustainability Officer, will continue to serve in her role during a transitional period before leaving Talos to pursue other opportunities.
“Since TLCS’s inception, we have successfully applied our energy expertise as an early mover aimed at developing decarbonization solutions along the US Gulf Coast. Strong market interest during our capital raise provided the strategic option to fully monetize the business to TotalEnergies, an established global leader in CCS development,” said Talos President and CEO Timothy S. Duncan.
