BHP acquire two new licences for Eastern Canada

Company News

by Rachael Jones

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$33.630 -$1.482 -4.22%
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Last Updated: 28/02/2020 3:43 PM

BHP (ASX:BHP) has been successful in its bids to acquire a 100 per cent participating interest in, and operatorship of two exploration licences for two blocks in the offshore Orphan Basin in Eastern Canada.

The Canada Newfoundland and Labrador Offshore Petroleum Board made the announcements today.

BHP’s aggregate bid amount of US$625 million covers the drilling and seismic work required by the exploration work programs under the licence agreements over the six year term.

BHP’s minimum commitment under the licence agreements is for US$157 million.

It's expected the licence agreements will be issued in December this year and will be effective in January.

Shares in BHP (ASX:BHP) are trading 0.6 per cent higher at $33.59.

Rachael Jones

Finance News Network
Rachael comes to FNN after working for Fairfax Media covering international breaking news, including the global economy and politics. She joined FNN in February 2018. She has reported on Australia’s finance news for various organisations since 2000 and has also interviewed a number of key business players, including Bill Gates. Rachael has also worked across a number of countries, including the UK and the US.