Athabasca Sale to PetroChina Completed
After a long wait, Athabasca Oil Corporation has finally sold the rest of their stakes in the oilsands project of Dover. Making this sale allowed PetroChina to take control of the project. Taking control of the project ended up costing PetroChina roughly $1.184 billion.
That is a lot of Money
If you are thinking that is an awful lot of money, you should keep in mind that the project was originally sold for $50 million more than that. PetroChina will spend the next couple of years making payments for the project.
At the time that they closed their doors, Athabasca Oil Corporation received an instant cash payment that was more than $600 million. This also included three promissory notes with interest. These notes will pay the company $300 million on the second of March, $150 million on August 28th, 2015, and $134 million on August 29th of 2016.
During the Actual Sale
At the time of the sale, the oil company was holding on to 40 percent of the Dover project. The company had originally planned to finalize the sale earlier in the summer than when the sale actually happened. PetroChina had already owned 60 percent of the project at the time of the sale. It was towards the beginning of August that the head of the company announced that everything was finally in place to complete the sale.
The reason why the sale was put off for so long is because of a few legal hiccups. Fortunately, the two companies were able to work out all of the legal hiccups so they could move forward with the sale.
Now, all the citizens can do is play another waiting game. Most hope that PetroChina will not keep them waiting too long as the company decides what it is or is not going to do with the Dover project.