CALGARY, A.B. – Canadian Natural Resources Ltd. says it has signed a deal to buy the Joslyn oilsands project from Total SA and its partners for $225 million.
Under the deal, Canadian Natural will pay $100 million in cash on closing the agreement and make annual cash payments of $25 million over the next five years.
The Joslyn project is directly south of Canadian Natural’s Horizon project. It was put on hold indefinitely in 2014.
Total has been reducing oilsands commitments in recent years. It holds a 38.25 percent stake in the Jocelyn project, while Suncor Energy holds 36.75 percent.
The Joslyn Partnership holds 15 percent and Inpex Canada Ltd. owns 10 percent.
The transaction, which is subject to regulatory approval, is expected to close on Sept. 28.