CALGARY – Canadian Natural Resources Ltd. says it has signed a deal to buy the Joslyn oilsands project from Total SA and its partners for $225 million.
Under the deal, Canadian Natural will pay $100 million in cash on closing the agreement and make annual cash payments of $25 million over the next five years.
The Joslyn project is directly south of Canadian Natural’s Horizon project. It was put on hold indefinitely in 2014.
Total has been reducing oilsands commitments in recent years. It holds a 38.25 per cent stake in the Jocelyn project, while Suncor Energy holds 36.75 per cent.
The Joslyn Partnership holds 15 per cent and Inpex Canada Ltd. owns 10 per cent.
The transaction, which subject to regulatory approval, is expected to close on Sept. 28.