(Adds detail, background)
Aug 29 Canada's Athabasca Oil Corp said
it had closed the sale of its 40 percent interest in the Dover
oil sands project to a unit of PetroChina Co Ltd for
Athabasca said it received $600 million in cash and $584
million in three interest-bearing promissory notes from the
unit, Phoenix Energy Holdings Ltd.
"The company now has ample liquidity to continue development
of its Duvernay and Hangingstone core assets and the timing of
the cash payments under the promissory notes is aligned with our
capital spending plans over the next couple of years," Athabasca
Chief Executive Sveinung Svarte said in a statement on Friday.
PetroChina was expected to have completed the acquisition in
June, but it delayed payment amid a government-led corruption
investigation into the Chinese company, launched more than half
a year ago.
The Dover project, 95 kilometers (59 miles) northwest of
Fort McMurray in northern Alberta, is expected to produce as
much as 250,000 barrels of bitumen per day.
Athabasca's shares rose 4.7 percent to C$7.95 on the Toronto
Up to Thursday's close, the stock had risen about 24 percent
since Aug. 6, when the company said a deadline had been set for
the deal closure.
It was not immediately clear if the deal value was in
Canadian or U.S. dollars.
(Reporting by Ashutosh Pandey in Bangalore; Editing by Kirti