CANADIAN OILPATCH / LOOK INTO?
Anyone have any input on this company. My material is aged.
WESTERN STAR EXPLORATION LTD.
CALGARY, Oct. 31 /CNW/ - Western Star Exploration Ltd. (``Western Star'')
is pleased to announce the closing on October 31, 1996 of its share exchange
arrangement with 388623 Alberta Ltd. (``388623''), a wholly-owned subsidiary
of The Standard Life Assurance Company (``Standard''). Western Star issued
4,100,000 common shares and 1,000,000 warrants to Standard in exchange for all
of the shares of 388623. Each warrant will be exercisable at a price of $1.25
on or before October 31, 1999 for the purchase of one Western Star share.
Standard now holds 49.7% of the issued and outstanding Western Star shares.
As a result of the transaction Western Star now expects to have:
- current working capital of approximately $1 million
- reserves of 9 Bcf of natural gas and 165 Mbbls of oil and NGLs (proven
plus probable risked at 50%)
- ownership of 32,600 net acres of undeveloped land
- cash flow of $1.4 million ($0.17 per share) for the fiscal year ending
June 30, 1997 based on production from existing properties of 500 Boe
per day
- capital budget projected at $8.8 million, of which $4.3 million relates
to this transaction
- plans to drill forty to fifty wells this year
Western Star also announces the appointment of Mr. Norman Raschkowan to
the Board of Directors, and the appointment of Mr. Curtis B. Walsh as
Vice-President, Finance, effective November 1, 1996. |
