South Africa's Sasol finalises Canadian shale deal
South African petrochemicals group Sasol said it has completed the C$ 1.034 bn acquisition of its second shale gas interest in Canada's Talisman Energy.
Sasol is picking up a 50 % stake in Talisman's Cypress A acreage in the Montney Basin in north-eastern British Columbia, where the company also bought a stake in Talisman's Farrell Creek assets last year.
"The suspensive conditions to the transaction have been fulfilled and... the transaction closed on 10 June 2011," the company said.
Sasol said the final purchase price amounted to C$ 1.034 bn. The amount comprises of an initial purchase price of C$ 246 mm and C$ 788 mm in the form of a commitment to fund 75 % of Talisman's future development costs, it said.
Talisman, Canada's third-largest independent oil explorer, is one of numerous North American gas producers that have taken on foreign partners for shale gas projects, which require expensive technology to unlock reserves.
