Canadian Natural Resources Ltd said Wednesday it will pay $3.125 billion in cash to buy conventional oil and gas assets in Western Canada from Devon Canada.
Calgary-based CNRL will also acquire six natural gas plants and other infrastructure as part of the deal.
The land assets include more than two million greenfield acres and about three million acres of royalty lands.
CNRL recently cancelled a planned sale of assets because of low prices.
The Devon Canada lands are near Canadian Natural’s existing holdings in Western Canada.
Devon didn’t include its Horn River assets in the deal or its heavy oil properties.
CNRL said it expects the deal to close on by April 1.
Oklahoma City-based Devon is selling the Canadian assets to help pay for its $6 billion purchase in the Eagle Ford of Texas.
It said last year it also trying to sell interests in the U.S. Rocky Mountains, Arkoma Woodford shale and Gulf Coast