Berkley Petroleum Corp -
9mo earnings eight cents per share
Berkley Petroleum Corp BKPShares issued 65,910,8891998-12-21 close $10.4Tuesday Dec 22 1998Mr. Michael rose reviews the company The company has entered into an agreement to acquire a large package of producing, shut-in and undeveloped properties in northeast British Columbia and northwest Alberta from a major oil and gas company. The $81.0-million acquisition is expected to close in early December, a purchase and sale agreement has been executed. Current production from the producing properties is 3,200 boe/d (16.0 mmcf/d gas, 1,600 b/d oil), initial established reserves in the package are 13.2 million barrels equivalent. One of the main attractions of the acquisition is a number of short-term tie-in opportunities from new gas pool discoveries. These tie-ins are expected to add 15-20 mmcf/d equivalent to initial production levels by mid-1999. Further development and tie-in opportunities exist for the following winter 2000 time frame. also included in the package are approximately350,000 net acres of undeveloped land and a large complementary proprietary two-dimensional and three-dimensional seismic data base. The principal properties, Sunset, Cranberry, Larne, Gunnell and Cordova, are primarily within existing Berkley play and operational areas and Berkley staff are familiar with these assets. Average production during the first nine months was 19,098 boe/d, consisting of 8,459 b/d oil and liquids and 106.4 mmcf/d. Berkley drilled or participated in 60 wells in the first nine months of 1998 resulting in 24 gas wells (12.5 net), 24 oil wells (14.7 net) and 12 suspended or dry holes. |
