“These assets are a great fit for Canadian Natural and will allow us to further implement our strong operating culture and drive significant value for shareholders,” said Canadian Natural president Scott Stauth.
Chevron to Sell Oil Sands : Financing and Dividend Increase
To fund the acquisition, Canadian Natural secured a fully committed $4 billion term loan facility, backed by the Bank of Nova Scotia and the Royal Bank of Canada, with the remainder financed through cash and committed bank facilities. In conjunction with the acquisition announcement, Canadian Natural’s board also approved a 7% increase in its quarterly dividend, raising it to $0.5625 per share, with the next payment set for January.
Closing and Future Plans
The sale is expected to close in the fourth quarter of 2024, pending regulatory approvals and other customary conditions. This transaction forms a key part of Chevron’s larger divestment plan, aligning with its strategy to streamline and optimize its global operations.
