Apache Corp. says it has sold its assets in British Columbia, Alberta and Saskatchewan for close to $1 billion in a strategic exit from Canada.
The Houston-based oil and gas company said late Thursday that leaving Canada was part of its goal of streamlining its portfolio to focus on projects in the United States, United Kingdom and Egypt.
Apache said the sell-off will mean a significant reduction in asset retirement obligations and annual overhead costs, as well as improve the revenue and cash generated on the energy it produces.
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It said the $125 million in spending planned for 2017 and 2018 in Canada would be redirected to other areas of its portfolio.
The company said its selling off its Canadian assets in a trio of deals worth about $927 million to Paramount Resources (TSX:POU), Cardinal Energy Ltd (TSX:CJ), and an undisclosed privately owned company, with the Cardinal deal already closed.
Paramount said Thursday that along with buying Apache assets in Alberta and B.C. for about $460-million, it was also merging with Trilogy Energy Corp (TSX:TET) in an all-share deal.