August 2019, Vol. 246, No. 8
Global News
Shell Selling Canadian Midstream and Upstream Assets for $140 Million
Canada’s Pieridae Energy will buy gas assets in Alberta from Royal Dutch Shell for $144.77 million, Pieridae said on Wednesday, securing supply for its planned liquefied natural gas plant in eastern Canada.
The deal will consist of all of Shell’s midstream and upstream assets in the southern Alberta Foothills area, which produce 29,000 barrels of natural gas, natural gas liquids and condensate. Pieridae is also buying three sour gas plants.
It will enable Pieridae to secure the remaining supply needed for the first phase of its proposed Goldboro LNG plant in Nova Scotia. If it goes ahead Goldboro will be Canada’s first east coast LNG project, producing 10 mtpa.
“Not only does this deal help us secure the remaining conventional natural gas supply needed for the first train of the Goldboro LNG project, it makes Pieridae a major player in the Alberta midstream and upstream industry,” Pieridae Chief Executive Alfred Sorensen told Reuters.
Shell and its partners are building Canada’s first LNG export terminal in northern British Columbia, but the company has scaled back operations elsewhere in the country, including in Alberta’s oil sands. P&GJ
Comments