Centrica, Qatar announce more gas deals in Canada

Joint venture buys gas acreage from Shell for $45.8 million.
By Daniel J. Graeber Follow @dan_graeber Contact the Author   |  May 15, 2014 at 10:02 AM
share with facebook
share with twitter
| License Photo

LONDON, May 15 (UPI) -- British energy company Centrica said Thursday it acquired natural gas acreage in Alberta, Canada, through a partnership with Qatar Petroleum for $45.8 million.

CQ Energy Canada Partnership, a joint venture between the two companies, acquired the assets from the Canadian subsidiary of Shell. The Dutch energy company receives a stake in a gas processing plant in Alberta as part of the transaction.

The joint venture says it estimates the Alberta assets have around 90 billion cubic feet of oil equivalent and will increase its overall production in the region by nearly 24 million cubic feet of oil equivalent per day.

Centrica and Qatar Petroleum International announced last week that the Qatari business will acquire a 40 percent stake in Centrica's natural gas business in Canada for $183 million.

The British company said the partnership will have 1.6 trillion cubic feet of proven and probable reserves.

Thursday's deal is the third such transaction made since both sides signed a memorandum of understanding for western Canadian interests in 2011.

Related UPI Stories
Trending Stories