Shell to sell more than $1bn worth of property in Canada
Company is selling to Tourmaline because the assets do not fit into Shell’s near-term development plans
Calgary — Royal Dutch Shell said on Thursday it was selling $1.03bn worth of noncore oil and gas properties in western Canada to Tourmaline Oil, the latest example of the global oil major trimming its operations in the region. Shell said it would sell 83,365ha of developed and undeveloped land, amounting to production of about 24,850 barrels of oil equivalent per day, to Calgary-based Tourmaline. The assets include 24,685ha) in the Gundy area in northeast British Columbia and 58,679ha in the Deep Basin area of west-central Alberta. Shell is undergoing a $30bn asset divestment programme globally and has already pulled back from some capital commitments in western Canada. In July, the company delayed a decision on whether to build a liquefied natural gas export terminal in British Columbia, citing global industry challenges. In October 2015, it halted its Carmon Creek oil sands project in northern Alberta because of the lack of infrastructure to move Canadian crude to market. Shell up...
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