Abu Dhabi National Energy Co has hired advisors to sell its entire oil and gas producing assets in Canada as part of a drive to reduce the company’s carbon footprint, sources familiar with the matter told Reuters on Wednesday.
IHS Markit analysts estimated that the assets could fetch as much as C$1.5 billion ($867 million).
The state-backed company’s decision to make a total exit from Canada comes after it announced a review of its onshore and offshore oil and gas assets this month, spread across Canada, Netherlands, the United Kingdom’s North Sea and the Kurdistan region of Iraq. The company is seeking to expand its electricity generation business, while reducing the carbon emissions by selling fossil fuel assets.
TAQA, as the company is also known, is working with Tudor, Pickering, Holt & Co (TPH) and Jefferies for its Canadian asset sales, launched this month, the sources said. The company will make confidential information presentations to interested parties in October, according to a sale document reviewed by Reuters.
TAQA’s assets in Canada produced around 73,000 barrels of oil equivalent per day last year, accounting for more than 60% of the company’s entire oil and gas portfolio during 2020. The company says it is among the Canada’s top 15 oil producers by volumes.
Story published from Reuters.