MRO Magazine

ChevronTexaco to sell some Canadian assets

Calgary, AB -- ChevronTexaco has announced plans to sell its interests in additional non-strategic producing proper...


Industry

December 10, 2003
By MRO Magazine
MRO Magazine

Calgary, AB — ChevronTexaco has announced plans to sell its interests in additional non-strategic producing properties in the United States, re-align strategic business units and evaluate opportunities to divest selected producing and midstream assets in western Canada. The plans support ChevronTexaco’s drive to improve competitive performance and increase operating efficiency in North America.

The company will sell as much as one third of its Canadian oil and gas production as part of thee reorganization. However, the news does not mark the start of a pullout from the country, the company told the Reuters news agency this week.

Canadian assets being considered for divestment consist of mature producing fields and midstream assets in western Canada currently producing 35,000 barrels of oil-equivalent production per day. The decision does not affect strategically significant assets, which include: the Athabasca Oil Sands Project, MacKenzie Delta gas, East Coast Canada exploration, development and production activities (including Hibernia projects), or the company’s refining and marketing operations.

“It’s definitely not a pullout,” Chevron Canada spokeswoman Lynn Lehr told Reuters. “We want to keep our options open with the oil sands, we’ve got an active program going on in the North and our interests on the East Coast.”

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Chevron Canada has about 500 employees after numerous property sales over the past decade. The company also plans to sell properties in the U.S.

ChevronTexaco pumps about 100,000 barrels of oil equivalent a day in Canada, about 4% of its worldwide total.

Headquartered in San Ramon, Calif., ChevronTexaco is the second-largest U.S. energy company and the fifth largest in the world, based on market capitalization. More than 53,000 employees work in about 180 countries around the world, producing and transporting crude oil and natural gas, and marketing and distributing fuels and other energy products.