Whitecap sells stake in infrastructure assets, signs partnership with Pembina

CALGARY — Whitecap Resources Inc. has signed a deal to sell a 50 per cent stake in its Kaybob complex natural gas processing facility to Pembina Gas Infrastructure for $420 million.

The company also says it will go ahead with its Lator facility in the Montney area in partnership with PGI which will fund development in the area.

PGI is jointly owned by Pembina Pipeline Corp. and KKR.

The Kaybob complex in Alberta includes 165 million cubic feet per day of natural gas processing capacity and condensate stabilization capacity of 15,000 barrels per day.

In addition, Whitecap says it will sign a long-term fixed take-or-pay commitment with PGI to access their working interest capacity.

In a separate deal, Whitecap announced the sale of a 50 per cent stake in its Musreau facility in the Montney region to Topaz Energy Corp. for $100 million.

This report by The Canadian Press was first published July 2, 2024.

Companies in this story: (TSX:WCP, TSX:PPL)

The Canadian Press