Ithaca Energy Expands with $860 Million Canadian Oil Deal

Ithaca Energy has struck a deal to acquire Suncor Energy’s oil assets in offshore eastern Canada for $860 million in cash. This marks the company’s first international acquisition outside the UK. The deal includes a 48% operated interest in the Terra Nova field, a 40% stake in the White Rose Existing Lands, and a 38.6% share in the White Rose Growth Lands, which encompasses the West White Rose Extension.

The transaction could expand to $1.11 billion, as Ithaca may pay Suncor an additional $250 million contingent on Brent crude prices over a 27-month period starting July 1, 2026. The assets are projected to produce an average of 30,000 barrels of oil equivalent per day between 2027 and 2031, with output expected to rise to 35,000-40,000 boepd by 2029 due to the West White Rose development. First production from West White Rose, operated by Cenovus Energy, is anticipated in late 2026.

The acquisition adds 103 million barrels of proven and probable reserves, with a reserve life of about 17 years, along with around 200 million boe of additional resources. Yaniv Friedman, Ithaca Energy’s Executive Chairman, stated that the deal aligns with the company’s growth strategy to diversify and expand its production and resource base beyond the UK Continental Shelf. The acquisition is set to boost Ithaca’s medium-term production outlook to 140,000-150,000 boepd, positioning it as the fifth-largest operator in offshore Canada by production.

Completion of the deal is targeted for the first half of 2027, subject to regulatory and government approvals in Canada.