Crescent Point Energy announced the sale of gas infrastructure assets in Saskatchewan to Steel Reef Infrastructure Thursday afternoon. The sale, valued at $500 million, is the latest move by Crescent Point, who has completed a number of sales over the course of 2019. 

In a written release, Craig Bryksa, the president and CEO of Crescent Point Energy, said the company has now sold, or entered into agreements to sell, roughly $1.45 billion in assets.

The deal with Steel Reef, whose CEO is Layne McKay, the 2019 Oilman of the Year at the Saskatchewan Oil and Gas Show, will see Crescent Point divest nine natural gas gathering and processing facilities, as well as two gas sales pipelines. All the assets are currently in operation.

No oil-related infrastructure was part of the deal.

In the terms of the agreement for the sale, Steel Reef will gran Crescent Point processing rights at the facilities, as part of long term take-or-pay commitments. Additionally, Steel Reef has committed to funding an upcoming expansion of one of the gas processing facilities. With an estimated price tag of $30 million, this is above and beyond the price of the transaction. Work on the expansion is expected to begin in 2020, with it being completed approximately 12-18 months later.

In the same release, Crescent Point announced they are negotiating with a third party for the development of a new sales oil pipeline. The pipeline would serve Crescent Point's southeast Saskatchewan production. Once an agreement for the construction is finalized, it is expected to take 12 months to construct the pipeline and bring it into service.

Swift Current is home to a Crescent Point office, and Shaunavon is one of the business' areas of focus.