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Total reaches $8.8 billion deal with Occidental for Anadarko's Africa assets

Logo of French oil company headquarters Total in La Defense business district, near Paris
The logo of French oil company Total at La Defense business district, near Paris. Photo: Justin Lorget/Getty Images

French oil-and-gas giant Total said Sunday it has entered a deal with Occidental Petroleum Corp. to acquire Anadarko’s assets in Algeria, Ghana and South Africa for $8.8 billion, Reuters reports. The deal, which would be expected to close next year, is contingent on Occidental winning the war to acquire Anadarko.

Why it matters: The proposed deal is a new twist in the high-stakes battle between Chevron and Occidental to acquire Anadarko in what would be the biggest oil mega-deal in years. It signals how Occidental, which has bid much more than its larger rival Chevron, is seeking to show that it’s well-positioned to emerge from the expensive transaction in a strong position and successfully combine its operations with Anadarko’s.

Go deeper: Occidental battles Chevron for Anadarko prize