FILE PHOTO: The Repsol logo outside their headquarters in Madrid, December 16, 2014. REUTERS/Andrea Comas/File Photo
February 7, 2022
By Shariq Khan and Rod Nickel
(Reuters) – Spanish oil major Repsol SA is considering putting some of its Canadian assets for sale later this year as it looks to reap the benefits of higher oil and gas prices, four sources told Reuters on Monday.
Repsol is seeking buyers for its holdings in the Duvernay basin, in western Canada, which are still in early development stages, according to its website. The company’s 170,000 acres (688 square kilometers) in the Duvernay could fetch about C$750 million ($589.9 million), according to an industry source.
The sources requested anonymity as the discussions are confidential. A Repsol representative said the company does not comment on market speculation.
Repsol also owns assets in Alberta’s Greater Edson and Chauvin basins, along with gas- and power-related infrastructure. Repsol has not made a final decision on any of the assets, the sources cautioned, adding that among the options it could consider are partial sell-downs or joint ventures.
Repsol, whose total annual Canadian production was 57,800 barrels of oil equivalent per day in 2019, could still choose to retain the assets as is, they said.
($1 = 1.2714 Canadian dollars)
(Reporting by Shariq Khan in Bengaluru and Rod Nickel in Winnipeg; Editing by Denny Thomas and Marguerita Choy)