Canadian Natural to acquire liquids-rich natgas assets from US Devon

19 February 2014 16:02  [Source: ICIS news]

TORONTO (ICIS)--Canadian Natural Resources (CNR) has agreed a $2.8bn deal to acquire certain liquids-rich natural gas assets in western Canada from US energy firm Devon, it said on Wednesday.

Calgary-based CNR said that the acquired assets were "high-quality, concentrated liquids-rich natural gas weighted assets, with additional light crude oil exposure".

The estimated production from the acquired properties includes 383 million cubic feet/day of natural gas, 10,800 bbl/day of light crude oil, and 12,000 bbl/day of natural gas liquids (NGL). 

"This acquisition provides significant upside in liquids-rich natural gas and light crude oil properties where we already operate and have a strong understanding of the geology and operating performance," CNR said.

The deal, which is expected to close in the second quarter, does not include Devon’s thermal heavy oil assets in Canada.

The acquisition by CNR comes shortly after the company decided not to pursue selling parts of its shale gas assets in British Columbia province.

Devon said it would use the proceeds from the sale to pay down debt it incurred in acquiring assets in Texas’ Eagle Ford shale region last year.

By: Stefan Baumgarten
+1 713 525 2653

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