On 27 January 2016, Athabasca Oil announced the finalisation of a joint venture agreement with Murphy Oil to develop Athabasca's Duvernay and Montney assets for consideration of Cdn$475 million net (US$334 million). The deal is structured Cdn$250 million in cash, alongside a Cdn$225 capital carry. Wood Mackenzie has a bespoke model for Athabasca's Duvernay position which is the genesis of the valuation. We do not include AOC's Montney assets in our valuation analysis. Athabasca is selling a 70% working interest in production, acreage and infrastructure within their Greater Kaybob asset (200,000 acres), and a 30% working interest in their Greater Placid assets (60,000 acres). Murphy will assume operatorship of the Kaybob (Duvernay) assets while Athabasca will remain in place as operator of the Greater Placid (Montney) assets and midstream infrastructure.