A source told ESPN that Okafor's deal includes a partial guarantee for the 2018-19 season and a team option for the following season.
The Pelicans lost All-Star center DeMarcus Cousins in free agency and signed Lakers forward/center Julius Randle. Okafor has worked this summer to remake his jump shot and will have the opportunity to earn minutes with the Pelicans.
Okafor, 22, made the NBA's All-Rookie team in 2016 before his role increasingly diminished with the 76ers, leading to the trade to the Nets.
In limited minutes for the Nets, Okafor averaged 6.4 points per game. As a rookie with the Sixers in 2015-16, Okafor averaged 17.5 points and 7 rebounds.