ConocoPhillips to buy out Canadian oil sands project

ConocoPhillips to buy out Canadian oil sands project


CALGARY, May 29, 2023 – ConocoPhillips has exercised its pre-emption rights to purchase the remaining 50% interest in the Surmont oil sands project in Canada, the American energy giant announced on Friday.

The USD 3-billion deal includes contingent payments of up to USD 325 million and will see the company take 100% ownership of the project from French energy giant TotalEnergies.


“Today’s announcement reflects our ongoing commitment to enhance our returns-focused value proposition, improving our return on capital employed, lowering our free cash flow breakeven and further supporting our USD 11 billion planned return of capital in 2023,” said Ryan Lance, chairman and CEO of ConocoPhillips.

The project is located around 56 kilometres south of Fort McMurray in the province of Alberta and produced around 138,000 boepd in 2021.

The deal is expected to close in H2 2023 following government approval.