TotalEnergies EP Canada strengthens position in Canadian oil sands with new acquisition

TotalEnergies EP Canada strengthens position in Canadian oil sands with new acquisition

(IN BRIEF) TotalEnergies EP Canada Ltd, a subsidiary of TotalEnergies, has announced that it has acquired an additional 6.65% interest in the Fort Hills Energy Limited Partnership, and associated sales and logistics agreements, from Teck Resources Limited, for a consideration of 312 million Canadian Dollars. The acquisition increases TotalEnergies EP Canada’s working interest in the Fort Hills project from 24.58% to 31.23%. The company also holds a 50% working interest in the Surmont project. This move is in line with TotalEnergies’ low-carbon strategy and the planned spin-off of TotalEnergies EP Canada in 2023 to exit Canadian oil sands. The spin-off is planned to be submitted to vote at TotalEnergies’ annual Shareholders’ Meeting in May 2023.

(PRESS RELEASE) PARIS, 27-Jan-2023 — /EuropaWire/ — TotalEnergies (EPA:TTE), a global multi-energy company with over 100,000 employees and presence in more than 130 countries as well as the world’s 3rd-largest low-carbon LNG company, announces that its subsidiary, TotalEnergies EP Canada Ltd, has acquired an additional 6.65% interest in the Fort Hills Energy Limited Partnership, and associated sales and logistics agreements, from Teck Resources Limited, for a consideration of 312 million Canadian Dollars. The acquisition increases TotalEnergies EP Canada’s working interest in the Fort Hills project from 24.58% to 31.23%. The company also holds a 50% working interest in the Surmont project.

Located 90 kilometers North of Fort McMurray in the Province of Alberta, the Fort Hills project is considered to have long-term growth potential. The acquisition of an additional interest in the project is in line with TotalEnergies’ low-carbon strategy and the planned spin-off of TotalEnergies EP Canada in 2023 to exit Canadian oil sands.

“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.

Through the acquisition of an additional interest in Fort Hills, TotalEnergies EP Canada is building the future for the spin-off entity in an asset with long-term growth potential. The spin-off is planned to be submitted to vote at TotalEnergies’ annual Shareholders’ Meeting in May 2023.

TotalEnergies announced its intention to exit Canadian oil sands in September 2022 and plans to submit the spin-off of TotalEnergies EP Canada to vote at the annual Shareholders’ Meeting in May 2023. The decision to spin-off the subsidiary is in line with the company’s commitment to developing and producing oil and gas resources in a responsible and sustainable manner, while also investing in low-carbon solutions to support the transition to a low-carbon economy.

The acquisition of the additional interest in the Fort Hills project is seen as a strategic move by TotalEnergies EP Canada as it positions itself for future growth. The acquisition will also provide value to future shareholders of the spin-off entity.

About TotalEnergies

TotalEnergies is a global multi-energy company that produces and markets energies: oil and biofuels, natural gas and green gases, renewables and electricity. Our more than 100,000 employees are committed to energy that is ever more affordable, cleaner, more reliable and accessible to as many people as possible. Active in more than 130 countries, TotalEnergies puts sustainable development in all its dimensions at the heart of its projects and operations to contribute to the well-being of people.

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Cautionary Note
The terms “TotalEnergies”, “TotalEnergies company” or “Company” in this document are used to designate TotalEnergies SE and the consolidated entities that are directly or indirectly controlled by TotalEnergies SE. Likewise, the words “we”, “us” and “our” may also be used to refer to these entities or to their employees. The entities in which TotalEnergies SE directly or indirectly owns a shareholding are separate legal entities. TotalEnergies SE has no liability for the acts or omissions of these entities. This document may contain forward-looking information and statements that are based on a number of economic data and assumptions made in a given economic, competitive and regulatory environment. They may prove to be inaccurate in the future and are subject to a number of risk factors. Neither TotalEnergies SE nor any of its subsidiaries assumes any obligation to update publicly any forward-looking information or statement, objectives or trends contained in this document whether as a result of new information, future events or otherwise. Information concerning risk factors, that may affect TotalEnergies’ financial results or activities is provided in the most recent Registration Document, the French-language version of which is filed by TotalEnergies SE with the French securities regulator Autorité des Marchés Financiers (AMF), and in the Form 20-F filed with the United States Securities and Exchange Commission (SEC).

SOURCE: TotalEnergies

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