The total sale consideration comprises of C$405m ($393.2m) of cash and a gross overriding royalty on certain lands, estimated to have a value of about C$50m ($48.5m).

The transactions consist of C$59m ($57.2m) asset sale to Venturion Oil, C$174m ($168.9m) assets to Whitecap Resources, and the sale of the shares of Barrick Energy and its assets to Canadian Natural Resources for about C$173m ($167.9m) along with a gross overriding royalty on certain lands.

Sale of Barrick Energy is said to be a part of company’s plan to optimize its portfolio offloading certain non-core assets.

Divestment of the energy business and the related agreements is expected to gross the company a loss of $500m in the second quarter, of which $90m is a part of goodwill.

The divestment agreement is subject to the closing of the asset sale transactions and other customary closing conditions.