Business and commercial: Husky sells refinery

The oil industry has had a shake-up with the sale of a major oil refinery. The business and commercial world recently learned that Husky Energy is selling its west coast based oil refinery to Tidewater Midstream and Infrastructure to the tune of $215 million initially in the hopes it can focus on other assets in Canada and stateside and offshore production. Husky will likely also receive about $60 million in contingency payments regarding the deal over the next two years.

In keeping with Husky's five-year plan, the sale was made to increase the company's profit margin, according to its CEO. The cash from the transaction is earmarked for returning value to shareholders. Tidewater intends to keep all employees on the payroll. 

Tidewater, based out of Calgary, primarily deals with natural gas processing, fractionation, transportation,  marketing, storage and liquids upgrading. Its main operations are in the west -- mostly in Alberta and British Columbia. Meanwhile, Husky has several projects across Canada and the United States. Those include thermal projects to heat and extract oil from tar sands in various areas and its offshore projects include Canada's east coast waters as well as gas projects in China and Indonesia. 

Those invested in business and commercial dealings in Canada understand the complexities of deals such as these. There are times when multi-millions of dollars are at stake when businesses change hands. It is crucial that these transactions take place within the laws that govern them. A lawyer can ensure that corporate deals -- whether they're worth several millions or hundreds of thousands of dollars -- adhere to the law. A lawyer's experience may be beneficial at every point of a business transaction, from negotiations to closing.

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