Not surprisingly the company expects to record a significant gain to income upon close of the sale, which is anticipated to occur at the end of the second quarter or during the third quarter of this year.
The transaction includes the sale of oil and gas producing properties in the Northwest Territories, British Columbia, Alberta and Manitoba.
"We're rationalising our upstream portfolio to strengthen our competitive position by selling non-strategic assets and retaining those fields that represent long-term value for ChevronTexaco," said vice chairman Peter Robertson.
"Our strategy in North America is to streamline the portfolio to include approximately 400 core fields that account for the vast majority of current production and cash flows."
ChevronTexaco announced last year that it was evaluating opportunities to divest certain Canadian producing properties to improve performance of its North America exploration and production portfolio. The company recently announced the sale of its EnerPro Midstream Co. assets in Alberta.
