ConocoPhillips to Offer Notes to Fund $3 Billion Surmont Oil Facility Buyout

Aug 8 (Reuters) – ConocoPhillips COP.N will offer notes to raise funds for its acquisition of the remaining 50% stake in Surmont oil facility in Canada worth $3 billion, the U.S. oil gas producer said in a filing on Tuesday.

The Houston, Texas-based company did not specify how much it was looking to raise through the notes, which it said will comprise senior unsecured debt.

Surmont is part of the Canadian oil sands, which hold some of the world’s largest crude reserves.

Conoco had said in May it would acquire the remaining 50% stake in Surmont from the Canadian subsidiary of TotalEnergies TTEF.PA and assume full ownership.

The deal is expected to close in the second half of 2023.

Conoco in May issued notes worth $1.1 billion. The company had a total debt of $16.44 billion as of June 30.

(Reporting by Sourasis Bose in Bengaluru; Editing by Shinjini Ganguli)