Cenovus to Acquire Athabasca Oil for 3.55 Billion Euros
Cenovus Energy, a Canadian oil and gas producer, has agreed to acquire Athabasca Oil for approximately 5.7 billion Canadian dollars (3.55 billion euros). The deal will bolster Cenovus’s presence in Canada’s crude oil sector by adding 45,000 barrels per day of oil production and an estimated 85 million Canadian dollars (53 million euros) in annual synergies.
The acquisition includes high-quality oil sands assets in Alberta, such as the Leismer and Corner deposits, with proven reserves boasting a lifespan of over 75 years. Payment terms involve 65% to 75% in cash and 25% to 35% in Cenovus shares, with each Athabasca share priced at 12 Canadian dollars (7.52 euros) or 0.264 Cenovus shares.
The transaction is set to close by December 2026, pending regulatory approvals and shareholder consent. Cenovus CEO Jon McKenzie highlighted the strategic fit, stating that Athabasca’s long-life assets align with Cenovus’s portfolio and enhance long-term value for shareholders.