Direct Energy, an energy and energy-related services provider and a subsidiary of Centrica, has acquired Suncor Energy's Wildcat Hills natural gas assets for $367.5m.
Direct Energy’s total natural gas equivalent production increases by approximately 80% to approximately 180mmcfe/day (95% gas) following the acquisition.
Direct Energy Upstream & Trading president Badar Khan said that the company’s initial impression of the strength of the Wildcat Hills assets, in terms of the expected natural gas production and dedicated staff, has been affirmed during the process of integrating it into its existing operations.
"Direct Energy intends to continue investigating opportunities for upstream investments in natural gas, including shale, and power generation assets in North America," Khan said.
The addition of the Wildcat Hills assets brings Direct Energy’s upstream asset cover to approximately 35% of the load required by its North American retail natural gas customers.