According to people familiar with the discussions, Calgary-based Connacher Oil and Gas Ltd. is seeking to transfer a large portion of its oil sands properties into a development venture that Kuwait Petroleum has agreed, on a preliminary basis, to finance. It’s possible other companies could be invited to roll in additional oil sands assets.
There are a bunch of properties that will be folded into a larger project for this venture,” said one person familiar with the discussions.
Athabasca spokesperson Heather Douglas said the company is in discussions with other companies about a potential role in the venture with Kuwait Petroleum, but declined to comment about Connacher. A spokesperson for Connacher said it doesn’t “comment on rumour or speculation.” Earlier this year Connacher hired Goldman Sachs to help it with a strategic review to explore “all strategies available” for improving shareholder value.
More: Kuwait deal with Athabasca sparks interest from other oil sands players - The Globe and Mail