Petronas has acquired a 50% working interest in Progress Energy’s Altares, Lily and Kahta gas properties, known collectively as the North Montney joint venture, in Canada for C$1.07bn ($1.1bn).
Petronas and Progress have also created an LNG Export joint venture with Petronas, which holds an 80% stake, and Progress Energy, which holds a 20% stake.
The LNG Export joint venture will carry out a feasibility study to evaluate the potential of the LNG export facility on the west coast of British Columbia.
Petronas will also provide a standby equity financing of up to $600m for Progress Energy’s capital requirements of the North Montney joint venture to supply gas for the LNG Export joint venture.
