20.6 C
Fort St. John
Wednesday, August 15, 2018
Tel: 250-787-7100
Email: contact@energeticcity.ca
9924 101 ave Fort St. John, B.C.
Advertisement
Advertisement
Advertisement

Cenovus inks deal to sell Montney oil and gas assets for $625 million

CALGARY, A.B. – Oilsands producer Cenovus Energy Inc. is selling northwestern Alberta oil and gas assets for $625 million as part of a process to reduce its $9.5-billion debt burden.

The sale is to include its Pipestone and Wembley natural gas and liquids production, as well as its 39 percent interest in the Wembley gas processing plant.

Cenovus didn’t identify the buyer but Calgary-based NuVista Energy Ltd. confirmed it was the purchaser in a separate news release late Thursday.

Cenovus says it is continuing to market other assets in what is known as the Deep Basin region as it tries to pay down debt from its purchase of oilsands and conventional assets from ConocoPhillips last year.

Advertisement

Advertisement

NuVista says the acquired business includes production of about 9,600 barrels of oil equivalent per day and related infrastructure.

Advertisement

Advertisement

It says it will fund the purchase with its credit facilities, a $384-million offering of subscription receipts and a private placement of up to $35 million in common shares issued on a “flow-through” basis.

Advertisement

Advertisement

(THE CANADIAN PRESS)

Advertisement

Advertisement

Advertisement

Advertisement

Advertisement

Advertisement

Must Read

City now taking registrations from organizations for upcoming Community One Stop

FORT ST. JOHN, B.C. – The City of Fort St. John is now accepting registrations from local organizations to participate in the upcoming Community...
Advertisement