Crescent Point Energy is selling $600 million in assets to Saturn Oil & Gas

CALGARY – Crescent Point Energy Corp. says it has signed a $600 million deal to sell some of its oil-producing properties in Saskatchewan to Saturn Oil & Gas.

The company says the Flat Lake and Battrum properties are included in the deal. Production from the assets is expected to reach 13,500 barrels of oil equivalent per day over the next twelve months.

As a result of the deal, Crescent Point is revising its 2024 annual average production forecast to a range of 191,000 to 199,000 boe/d, a reduction of 7,000 boe/d from the midpoint of its previous forecast.

During the first quarter of 2024, Crescent Point also completed the previously announced sale of its Swan Hills and Turner Valley assets for $140 million, prior to finalizing adjustments.

The company says it will use the proceeds from the divestitures to reduce debt.

Calgary-based Crescent Point has made several major acquisitions in the Montney and Kaybob Duvernay oil and gas regions of northwestern Alberta since 2021.

Saturn Oil & Gas, also based in Calgary, has assets in Alberta and Saskatchewan.

This report by The Canadian Press was first published May 7, 2024.

Companies in this story: (TSX:CPG)

The Canadian Press