Achi news desk-
Crescent Point Energy Corp. says that it has signed a $600 million deal to sell some of its oil producing properties in Saskatchewan to Saturn Oil & Gas.
The company says its Flat Lake and Battrum properties are included in the deal. It says production from the assets is expected to be 13,500 barrels of oil equivalent per day over the next 12 months.
As a result of the deal, Crescent Point is revising its annual average production guidance for 2024 to a range of 191,000 to 199,000 boe/d, a decrease of 7,000 boe/d compared to the midpoint of its previous guidance range.
During the first quarter of 2024, Crescent Point also closed the previously announced disposal of its Swan Hills and Turner Valley assets for $140 million, before closing adjustments.
The company says it will use the proceeds from the disposals to reduce debt.
Calgary-based Crescent Point has made several major acquisitions since 2021 in the Montney and Kaybob Duvernay oil and gas regions in northwestern Alberta.
Saturn Oil & Gas, also based in Calgary, has assets across Alberta and Saskatchewan.
This report was first published by The Canadian Press on May 7, 2024.
