HOUSTON (Reuters) – Chevron on Friday said it will put its Alberta, Canada, shale-gas business up for sale as it continues to streamline global operations following several big acquisitions.
The company produces about 40,000 barrels of oil and gas from its 70% interest in about 235,000 acres in Alberta’s Duvernay field, according to its website.
The assets could fetch over $500 million, according to an analyst familiar with the company’s operations.
Chevron has said it plans to offer between $10 billion and $15 billion in assets following deals with Hess Corp, PDC Energy and Noble Energy that will significantly expand its oil and gas output.
“We have a strong position and are proud of our performance in the Duvernay,” a spokesperson told Reuters. “The business holds significant value in both its current production as well as potential growth opportunities, which we expect to be attractive to other companies with complementary portfolios.”
The company’s other Canadian operations are unaffected, the spokesperson said.
Chevron first announced plans to develop the East Kaybob region of the Duvernay play in Alberta in 2017 after three years appraising the area. At the end of 2022, 243 wells in the field had been tied into production facilities.
(Reporting by Nia Williams in British Columbia and Sabrina Valle in Houston; editing by Gary McWilliams)
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