Total E&P Canada Ltd. entered into an agreement to acquire an additional 6.65% stake in Fort Hills Energy Limited Partnership from Teck Resources Limited for approximately CAD 310 million.

Total E&P Canada Ltd. entered into an agreement to acquire an additional 6.65% stake in Fort Hills Energy Limited Partnership from Teck Resources Limited (TSX:TECK.B) for approximately CAD 310 million on January 27, 2023. Total E&P Canada Ltd. announces that it has exercised its preemption right to acquire an additional 6.65% interest in the Fort Hills Energy Limited Partnership and associated sales and logistics agreements from Teck Resources Limited. Total E&P Canada Ltd. held a working interest of 24.58% in the Fort Hills project, and after the transaction it will hold 31.23%.

Total E&P Canada Ltd. also holds a 50% working interest in the Surmont project located in the region. TotalEnergies SE announced in September 2022 its intention to exit Canadian oil sands by spinning off TotalEnergies EP Canada in 2023. Through the acquisition of an additional interest in Fort Hills, TotalEnergies EP Canada is building the future for the spin-off entity in an asset with long-term growth potential.

The spin-off is planned to be submitted to vote at TotalEnergies' annual Shareholders' Meeting in May 2023. Vince Mercier, Anthony Spadaro and Dan Pearlman of Davies Ward Phillips & Vineberg LLP acted as legal advisor to Total E&P Canada Ltd.