Exxon selling its 19% stake in Canada’s Terra Nova oil project

ExxonMobil

Global energy firm, Exxon Mobil Corp is selling its entire stake in the Terra Nova project off the eastern coast of Canada, according to data from Schlumberger’s oil and gas asset sale business.

The project, located about 217 miles (350 km) off Newfoundland and Labrador, produced about 5,000 barrels of oil per day in 2016, Reuters reports.

Exxon is selling all of its 19 percent stake in the project and initial bids are due March 30, a document related to the sale said.

The Terra Nova project consists of a floating production, storage and offloading vessel to produce oil.

The project has pumped 400 million barrels of oil and consists of 30 wells that pumped about 31,000 barrels per day last year, the document said.

Terra Nova crude oil is produced by a joint venture between ExxonMobil (22%), PetroCanada, Husky Oil, NorskHydro, Murphy and others.

The oil field was developed using a Floating Production Storage and Offloading (FPSO) vessel. This facility is a ship-shaped vessel with integrated oil storage from which oil is offloaded onto shuttle tankers.

Recoverable reserves are estimated at 370 million barrels from the Graben and East Flank and the Far East having the potential to add an additional 100 million barrels. Current production is ~50 kbd.