Repsol will Sell Its Oil and Gas Assets in Canada to Peyto for $468 Million
Spain’s Repsol has agreed to sell its oil and gas assets in Canada to local Peyto for $468 million (€433 million), the company said.
“The agreement covers all mineral rights, associated facilities and infrastructure of Repsol’s Canadian oil and gas business, including assets in the Greater Edson region with net production of 23 thousand barrels of oil equivalent per day, of which the majority is gas,” the statement said. .
The transaction is expected to close in mid-October, subject to customary conditions, including receipt of necessary regulatory approvals.
The company notes that it maintains commercial and logistics operations in Canada through its Saint John liquefied natural gas plant and distribution business.
The Canadian asset deal is part of a reorganization of Repsol’s portfolio aimed at focusing its activities in key regions – primarily in Organization for Economic Co-operation and Development (OECD) countries, with a particular focus on the United States.
Previously, Repsol had already reduced the number of countries in which it operates from 25 to 14, selling assets in Vietnam, Malaysia, Papua New Guinea, Australia, Greece, Morocco, Iraq, Bulgaria, Ecuador and Russia.
Peyto Exploration & Development Corp. is engaged in the exploration, development and production of oil and natural gas in Western Canada, based in Calgary (Canada). Peyto’s current production is approximately 100 thousand boepd.
