(Reuters) -TotalEnergies will sell 50% of its solar portfolio in North America in a $950 million deal, it said on Monday, adding that it also plans to invest in gas producing assets in the United States, shoring up future supplies for its core business.
The sale is consistent with the French oil major’s strategy of developing renewables projects then selling stakes to raise cash, which it hopes to spend on growing its natural gas portfolio.
The company said that it will receive $950 million from the sale to investment firm KKR and a related bank refinancing.
It is one of a series of disposals its CEO Patrick Pouyanne has said he expects will bring in $3.5 billion by year-end, to balance out about $3 billion in acquisitions.
The deal includes six utility-scale solar assets and 41 distributed generation assets, mostly in the United States. The company will sell some of the electricity produced by these assets and keep a 50% stake in the 1.4 gigawatt portfolio, with an enterprise value of $1.25 billion.
In a separate statement, TotalEnergies said it had signed a deal with U.S. oil producer Continental Resources to buy 49% of gas producing assets in the Anadarko Basin in the state of Oklahoma.
It said the assets could reach gross production of around 350 million standard cubic feet per day (MMscfd) by 2030 allowing TotalEnergies to reach around 150 MMscfd of net production.
TotalEnergies hosts its Capital Market Day later on Monday.
(Reporting by Alessandro Parodi and America Hernandez; Editing by Matt Scuffham)
