CALGARY, Alberta, Sept. 26, 2013 /CNW/ - Centrica and Qatar Petroleum International (QPI) have today completed a C$1 billion agreement with Suncor Energy to acquire a package of producing oil and natural gas assets in the Western Canadian Sedimentary Basin.
The assets include proven and probable (2P) reserves estimated by the partners at 978 billion cubic feet equivalent (90% natural gas), with estimated 2013 production of approximately 250 million cubic feet equivalent per day.
On behalf of the partnership, Centrica Energy will operate these assets, along with its existing portfolio, making it one of the top ten gas producers in the Western Canadian Sedimentary Basin. Centrica will operate 6,760 wells with proven and probable reserves of over 1,500 billion cubic feet equivalent, and employ around 600 people in Canada.
The package includes over 1 million acres of undeveloped land, a large seismic database and infrastructure, including gas processing plants.
Wes Morningstar, Senior Vice President, Centrica Energy Canada said: "Today's announcement marks the most significant step in our growth plans to date, securing our position as a leading producer of natural gas. In partnership with QPI, we have a great base on which to build here in Canada and this new deal provides exciting development opportunities for our projects and our talented team of people, as we invest to develop our business further.?
Notes to Editors:
- This transaction was announced on 15 April 2013.
- The acquisition will be made through CQ Energy Canada Partnership, a newly formed Canadian partnership owned by Direct Energy Resources Partnership (60%), a wholly owned subsidiary of Centrica plc, and QPI Energy Canada Ltd. (40%), a Canadian corporate entity wholly owned by QPI.
- The economic date of the transaction is 1 January 2013.
- Centrica's net proven and probable reserves in the Western Canadian Sedimentary Basin are now over 1,100 billion cubic feet equivalent.
- QPI was established in 2005 as a wholly-owned subsidiary of Qatar Petroleum ("QP"), the state-owned national oil company of the State of Qatar. QPI was established to promote and advance the interest of the State of Qatar in the global energy arena of upstream, downstream, and gas and power. QPI's multibillion portfolio of investments are global in scope, including partnerships and joint venture initiatives in Africa, North America (The United States and Canada), Singapore, the United Kingdom, Italy and Vietnam. For more information on QPI: www.qpi.com.qa
For further information:
Jeff Lanthier, Centrica Energy Canada Media Relations, 905 943-6260, Jeff.Lanthier@directenergy.com