CALGARY, A.B. – Canadian Natural Resources Limited has announced it will acquire Painted Pony Energy Ltd.

CNRL will purchase all outstanding common shares of Painted Pony for a cash consideration of $0.69 per share. The Company will also assume Painted Pony’s total debt of approximately $350 million.

Painted Pony’s land and production are located within Canadian Natural’s core area, providing an opportunity to leverage synergies with a significant amount of pre-built infrastructure and transportation.

Painted Pony has current production of approximately 270 million cubic feet per day of natural gas and 4,600 barrels per day of NGLs. The assets include properties in the Northeast British Columbia areas of Blair, Daiber, Kobes and Townsend.

Canadian Natural’s President, Tim McKay says the acquisition will strengthen their natural gas assets. “This transaction also allows us to further insulate against natural gas costs in our oils sands operations and has minimal impact on the Company’s low overall corporate decline rate. We look forward to working together with the staff currently employed by Painted Pony.”

The transaction is targeted to close in late Q3 or early Q4, 2020, subject to normal closing conditions.