Canadian company Suncor Energy last week announced that it has entered into a share purchase agreement with Equinor UK Limited for the sale of Suncor Energy UK Limited, which includes Suncor’s non-operated offshore interests in the North Sea. The deal is valued at approximately C$1.2bn ($883m), excluding working capital adjustments and including contingent consideration of $338m that is conditional upon the submission of the Rosebank development application to the regulator. The transaction is expected to close mid-2023.
“Having the right ‘fit and focus’ in our portfolio enables us to both ensure effective capital allocation consistent with our strategic objectives and to focus our organisation on delivering value in the rest of our portfolio, including our E&P business in East Coast Canada,” said Kris Smith, Interim President and Chief Executive Officer, Suncor.
The transaction will include Suncor’s non-operated stakes in the producing Buzzard field (29.9%) and the Rosebank development (40%). The purchase price is subject to closing adjustments typical of transactions of this nature.
