TotalEnergies EP Canada ups stake in Fort Hills oilsands project
CALGARY — TotalEnergies EP Canada Ltd. says it is increasing its ownership in the Fort Hills oilsands project by acquiring part of Teck Resources Ltd.'s stake in the mine.
Teck announced last year that it would sell its 21.3 per cent stake in Fort Hills to Suncor Energy Inc., the third partner in the project, for about $1 billion.
However, TotalEnergies EP Canada says it has exercised its pre-emption right to acquire an additional 6.65 per cent in the project from Teck for $312 million.
The deal brings the company's stake in Fort Hills to 31.23 per cent. Suncor will own the rest.
French company TotalEnergies announced in September 2022 its plan to exit the Canadian oilsands by spinning off TotalEnergies EP Canada in 2023.
It says the acquisition of an additional interest in Fort Hills helps build TotalEnergies EP Canada for the future.
This report by The Canadian Press was first published Jan. 27, 2023.
Companies in this story: (TSX:TECK.B, TSX:SU)
The Canadian Press