Statoil, PTTEP Swap Canadian Oil Sands Assets

MarineLink.com
Thursday, January 30, 2014
The Leismer facility in Alberta, Canada. (Photo: Helge Hansen)

Statoil and the Thai exploration and production company PTTEP have signed an agreement to divide their respective interests in the Kai Kos Dehseh (KKD) oil sands project in Alberta, Canada.


Following the transaction, Statoil will continue as operator and 100% owner for the Leismer and Corner development projects. PTTEP will own 100% of the Thornbury, Hangingstone and South Leismer areas.
 


As part of the transaction, Statoil will make a balancing payment of USD 200 million to PTTEP, in addition to a working capital adjustment from effective date of 1 January 2013. The completion of the transaction is subject to customary regulatory approvals in Canada and is expected to close by the third quarter of 2014.


“Both companies agreed the best way to maximize value of the KKD leases is to divide ownership. This allows each company to develop the assets at their own pace,” says Statoil Canada Ltd. president Ståle Tungesvik.
 


“This transaction allows for PTTEP to adjust its portfolio and the timing of its capital expenditures, based on the current market situation, to achieve optimal investment returns. It is also an opportunity for each party to pursue its own strategic direction,” added PTTEP president and CEO Tevin Vongvanich.
 


Statoil entered Kai Kos Dehseh through the acquisition of North American Oil Sands Corporation in 2007, and in 2011 PTTEP farmed into a 40% interest in KKD, with Statoil remaining as operator.



The Leismer project is the first phase of the SAGD (steam-assisted gravity drainage) full field development of KKD. Leismer is currently in production and has an operating capacity of 20,000 barrels per day. A final investment decision for the Corner project was initially scheduled to be made in the first part of 2014. The parties have agreed to postpone this until the closing of the transaction.

 


 

Maritime Reporter September 2014 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

People & Company News

FMT Options for another Towboat from Eastern

Eastern Shipbuilding Group, Inc. announce that Florida Marine Transporters, Inc. of Mandeville, La. exercised another additional 90’x32’x10’ “Canal Class” Inland

Caterpillar: Q3 Results Show Improvement

Caterpillar Inc. today announced its third-quarter results, in which it reported profit per share of $1.63 for the third quarter of 2014, an increase from third-quarter 2013 profit per share of $1.

Wärtsilä Expects 5% Sales Growth

Wärtsilä announced its third quarter results, reporting that it sees good development in order intake and profitability. According to Wärtsilä, third quarter

Energy

A History of U.S. Oil Export Controls

On Oct. 20, 1973, King Faisal of Saudi Arabia imposed a total embargo on oil shipments to the United States among other countries in response to their support for Israel during the Arab-Israeli war.

US Warns of Sanctions on Buyers of Islamic State Oil

The Obama administration on Thursday threatened to slap sanctions on anyone buying oil from Islamic State militants in an effort to disrupt what it said was a $1-million-a-day funding source.

Three Dead in Offshore Platform Accident

Three workers were killed and one is still missing after an accident at one of the offshore oil and gas platforms in the Caspian Sea in Azerbaijan, Azeri state energy company SOCAR said on Thursday.

News

A History of U.S. Oil Export Controls

On Oct. 20, 1973, King Faisal of Saudi Arabia imposed a total embargo on oil shipments to the United States among other countries in response to their support for Israel during the Arab-Israeli war.

New York, London Juxtaposed by New Maritime Event

On November 13, the newly formed New York Maritime Consortium, a coalition of leaders from New York Maritime Inc. (NYMAR), the Society of Maritime Arbitrators (SMA),

Transas to Supply TechSim Solutions to SUNY Maritime

The Navsim Services and Transas Americas Team, have been awarded contracts for supply of a combination of full mission, classroom and cloud based Transas Technical

 
 
Maritime Contracts Maritime Security Navigation Offshore Oil Pipelines Pod Propulsion Port Authority Ship Electronics Ship Repair Sonar
rss | archive | history | articles | privacy | terms and conditions | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1970 sec (5 req/sec)