PROPERTY ACQUISITION / Devlan Exploration Inc. Announces Acquisition
CALGARY, Dec. 15 /CNW/ - DEVLAN EXPLORATION INC. is pleased to announce
that it has entered into an agreement with a major Canadian oil and natural
gas resource company to purchase a property in the Marten Hills area of north
central Alberta for cash consideration of $5.175 million. The transaction is
expected to close on or before December 22, 1998, with the effective date to
be December 1, 1998.
The property includes two identical dehydration/compression packages and
28 miles of gathering and sales pipeline. In addition to the facilities,
Devlan is acquiring 56,872 net undeveloped acres with four producing gas wells
that averaged an aggregate 2,000 mcfd net production during a production audit
carried out by Devlan personnel during the first week of December 1998.
Production is from the Viking, Colony, Sparky, and Clearwater Formations
at depths from 400 to 700 metres. Proven Gross Company Reserves, as reported
by an independent engineering firm, is 5.284 Bcf
DEVLAN EXPLORATION INC. is a Calgary based oil and Natural Gas Company
focused on asset enhancement and optimization of previously overlooked or
underachieving properties. Devlan's exploration and production activity is
concentrated on natural gas prospects in Alberta.
The ASE has neither approved nor disapproved of the information contained
herein. |
