On 8 November 2013, Sasol’s partner, Talisman Energy Inc (Talisman), announced that it had reached an agreement to sell part of its Montney acreage in northeast British Columbia to Progress Energy Canada Ltd (Progress Energy) for a total cash consideration of CDN$1,5 billion.
In terms of Sasol’s existing agreement with Talisman, Sasol has a right to match the Progress Energy bid, also known as a right of first refusal, within 30 days of the notice from Talisman, which was received effective 18 November 2013.
Sasol has evaluated this opportunity taking into consideration, among others, its other available investment opportunities and has taken the decision not to exercise its right of first refusal.
The valuable Farrell Creek and Cypress A assets that Sasol holds in equal shares with Talisman, forms part of the transaction between Talisman and Progress Energy.
Sasol welcomes Progress Energy as its new partner and looks forward to forging a solid working relationship in the development of the Montney Basin shale gas assets. Progress Energy is a wholly owned subsidiary of Malaysian national oil and gas company, Petroliam Nasional Berhad (PETRONAS), with which Sasol has a longstanding relationship.
Alex Anderson, Group Media Manager
Direct telephone +27 (11) 441 3295; Mobile +27 (0) 71 600 9605;
Jacqui O’Sullivan, GM: Group Communication
Direct telephone +27 (11) 441 3252; Mobile +27 (0) 82 883 9697;
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