Transaction Details: 

Canadian Natural Resources Ltd. has signed a deal to acquire Painted Pony Energy Ltd. for $461 million in cash ($0.69 per share).

This deal closed on October 8, 2020.

This includes the assumption of Painted Pony’s total debt of approximately $350 million.

Painted Pony Assets

• Acreage: 186,727 net acres in the Northeast British Columbia areas of Blair, Daiber, Kobes and Townsend (according to Painted Pony's website)
  

• Current Production: Approximately 270 million cubic feet per day of natural gas and 4,600 barrels per day of NGLs (~319 Mmcfe/d as of Q1 2020)

• Reserves: 6.8 Tcfe (2P)

In commenting on the acquisition, Canadian Natural’s President, Tim McKay stated, “This acquisition further strengthens Canadian Natural’s natural gas assets and production base in key operating areas and complements the Company’s diversified portfolio. This transaction also allows us to further insulate against natural gas costs in our oils sands operations and has minimal impact on the Company’s low overall corporate decline rate.  We look forward to working together with the staff currently employed by Painted Pony.”

The transaction is targeted to close in late Q3 or early Q4, 2020.

Canada Deal Activity In Last 12 Months