ConocoPhillips has accomplished its beforehand introduced transaction to promote two ConocoPhillips UK subsidiaries to Chrysaor E&P Limited for $2.675 billion, plus curiosity and customary changes. Together, the subsidiaries not directly held the corporate’s exploration and manufacturing property within the UK, in addition to roughly $1.eight billion in asset retirement obligations.
ConocoPhillips additionally introduced that it has discontinued exploration actions within the Central Louisiana Austin Chalk pattern. The firm will file roughly $120 million pre-tax to Lower 48 dry gap expense within the third quarter, primarily associated to this play. The firm additionally expects to file a non-cash leasehold impairment associated to the acreage.
“We are happy that Chrysaor acknowledges the worth of our UK exploration and manufacturing property, and can proceed their improvement sooner or later,” mentioned Ryan Lance, chairman and CEO. “Our enterprise legacy within the UK displays a 50-year historical past of feat and operational excellence. Our workforce there needs to be happy with their accomplishments, and we stay up for sustaining our business buying and selling enterprise in London and persevering with as operator of the Teesside oil terminal.”
In the primary six months of 2019, manufacturing related to the UK property bought was 72 Mboepd. There is not any impression to third-quarter manufacturing steering because of the sale.
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