Entropy Inc., a subsidiary of Advantage Energy Ltd., has announced a definitive agreement to acquire strategic carbon storage assets. The transaction, valued at $20 million with potential contingent payments of approximately $15 million, involves the purchase of interests in three carbon hubs from a Canadian oil and natural gas producer. These hubs include the Belle Plaine and North Battleford carbon hubs in Saskatchewan, and a 50% interest in the Rolling Hills carbon hub in southern Alberta. The acquisition, set to close in July 2025, will be funded through convertible debentures issued by Entropy under its strategic investment agreements with Brookfield Asset Management and the Canada Growth Fund. Entropy's CEO, Sanjay Bishnoi, expressed enthusiasm about expanding operations into Saskatchewan and strengthening the company's carbon capture and sequestration business in Alberta. The move is seen as a significant step in Entropy's commercial growth, aiming to enhance relationships with new customers and advance infrastructure projects for CO₂ storage.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.