CALGARY, Alberta (AP) — Canadian oil and gas company Talisman Energy is selling a 49 percent interest in its UK division to Chinese firm Sinopec Corp. for $1.5 billion.
Talisman said Monday that the joint venture will focus on investment in the operating performance of the assets, including drilling and exploration opportunities.
The Calgary-based company says it will continue to handle operations, while Sinopec will be able to appoint staff to key positions.
Talisman president and CEO John Manzoni says the company plans to use about CA$500 million from the proceeds to buy back shares.
Talisman UK, based in Aberdeen, Scotland, has 564 full-time employees and about 1,950 contractors.
The transaction is expected to close by the end of the year, once the companies receive regulatory and government approval.
