Ithaca Energy Expands to Canada with $860M Offshore Oil Deal
Ithaca Energy, a UK-based oil and gas company, is making its first major international move with an $860 million deal to acquire Suncor Energy’s offshore oil assets in Canada. The transaction includes an upfront payment of $860 million, with an additional $250 million contingent on Brent crude oil prices over a 27-month period starting July 1, 2026. The company plans to finance the deal through existing cash, borrowing facilities, and secured financing.
The acquisition gives Ithaca Energy a 48% operated interest in the Terra Nova field, a 40% stake in the White Rose Existing Lands, and a 38.6% stake in the White Rose Growth Lands. Terra Nova is a producing shallow-water oil asset with a recently completed floating production, storage, and offloading (FPSO) life extension project. The White Rose assets, operated by Cenovus Energy, are expected to see substantial production growth, particularly from the West White Rose Extension, with first production anticipated in Q4 2026.
Yaniv Friedman, Executive Chairman of Ithaca Energy, stated that this acquisition marks a new era of growth for the company, aligning with its strategy to diversify and expand its production base. The deal is expected to add around 30,000 barrels of oil equivalent per day (boe/d) between 2027 and 2031, peaking at 35-40,000 boe/d in 2029. This positions Ithaca Energy as the fifth largest operator offshore Canada by production.
The transaction is set to close in the first half of 2027, subject to regulatory and government approvals. It is expected to be immediately cash flow and dividend accretive, providing Ithaca Energy with long-life assets, substantial reserves, and additional resource volumes for future growth.