Canadian Natural Resources Limited (CNQ, Financial) has announced its agreement to acquire Chevron Canada's 20% stake in the Athabasca Oil Sands Project situated in Alberta, raising its ownership to 90%. This acquisition based on Oil sand mines and a carbon capture facility, will add 62,500 barrels per day of Synthetic Crude Oil to CNQ's production. The Athabasca Oil Sands Project includes 20% of the Muskeg River and Jackpine mines, as well as the Scotford upgrader and the Quest carbon capture and storage plant, thereby significantly enhancing CNQ's operational footprint in this vital area.
Additionally, CNQ will acquire Chevron's 70% interest in the Duvernay light crude oil assets, targeting 2025 production of 122,500 BOE/d. comprising 179 MMcf/d of natural gas and 30,000 b/d of liquids. Canadian Natural has identified over 340 net light crude oil and liquids-rich locations within the resource, presenting substantial growth opportunities. The total investment value is $6.5 billion, subject to approval of pending regulations.
Alongside the acquisition, CNRL has announced a 7% increase in its quarterly dividend, providing a tremendous boost to its shareholders. This reflects the company's underlying confidence in the success of these acquisitions and the future cash flow growth.
