Uchenna Izundu
OGJ International Editor
LONDON, Apr. 3 -- SinoCanada Petroleum Corp. bought a 10% stake from Total E&P Canada Ltd. in the Northern Lights Partnership (NLP), a proposed oil sands venture 100 km northeast of Fort McMurray, Alta. The value of the transaction was not disclosed.
The shareholding in NLP will now be a 50:50 venture owned by Total Canada and SinoCanada. In 2005, SinoCanada bought a 40% interest in NLP from Synenco Energy Inc. Total Canada acquired the remaining 60% interest when it purchased Synenco Energy Inc. in 2008.
The contingent resources of the NLP is estimated at 1.08 billion bbl of bitumen.
Total said the shareholding would enable the partners to closely develop the oil sands resources and to win markets in North America and Asia. It is studying NLP's development scheme, which will use mining techniques and build upon the company's experience on other projects in the area.
SinoCanada is a subsidiary of Sinopec.
Contact Uchenna Izundu at [email protected].
