Norway’s Equinor has finalized a deal with Shell for the acquisition of a 30% stake in the proposed Bay du Nord oil project off the coast of Newfoundland. Equinor will maintain a 70% operating interest in the project, marking it as Canada’s inaugural deepwater oil development. This announcement follows BP’s agreement to sell its 37.2% interest in the project earlier this year.
The decision on proceeding with the $14 billion Bay du Nord development is anticipated from Equinor in early next year. Philippe Mathieu, an executive at Equinor, highlighted in a news release that the partnership with Shell will fortify the project as it progresses towards the final investment decision. Bay du Nord is situated approximately 500 kilometers east of St. John’s, Newfoundland, making it the farthest offshore oil project globally.
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