TotalEnergies EP Canada Ltd. is acquiring an additional 6.65% interest in the Fort Hills Energy Ltd. Partnership from Teck Resources Ltd. for C$312 million, TotalEnergies announced in a Jan. 27 press release.
The preemptive transaction brings TotalEnergies EP Canada’s working interest in the Fort Hills project from 24.58% to 31.23% in an effort to invest in long-term growth projects.
“By seizing this opportunity to grow its business under attractive conditions, TotalEnergies EP Canada will deliver value to the future shareholders of the spin-off entity,” said Jean-Pierre Sbraire, CFO of TotalEnergies.
The Fort Hills project is located in the province of Alberta 90 km north of Fort McMurray. Within the same region, the spin-off company holds 50% working interest in the Surmont project.
TotalEnergies EP Canada is a spin-off company of France’s TotalEnergies, who announced in September they plan to exit Canadian operations in 2023 with TotalEnergies EP Canada. The decision will be put to vote in May at TotalEnergies’ annual shareholders’ meeting.
TotalEnergies produces and markets energies—oil and biofuels, natural gas, renewables and electricity—globally.
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