Norwegian company Equinor has finalized a deal with Shell for the acquisition of a 30% stake in the proposed Bay du Nord oil project located off the coast of Newfoundland. Equinor will maintain a 70% operating interest in the project, marking Canada’s inaugural deepwater oil endeavor.
This agreement follows British oil corporation BP’s recent announcement of selling its 37.2% interest in the project approximately three months ago. Equinor is set to make a decision on advancing the $14 billion Bay du Nord development in early 2023.
Philippe Mathieu, an executive at Equinor, expressed in a press release that the collaboration with Shell bolsters the project as it progresses towards the final investment verdict. Bay du Nord is positioned about 500 kilometers east of St. John’s, Newfoundland, making it the most offshore oil project globally.
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