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Gold/Mining/Energy : KERM'S KORNER -- Ignore unavailable to you. Want to Upgrade?

To: Kerm Yerman who wrote (7360)	11/21/1997 9:10:00 PM
From: Kerm Yerman	Read Replies (2) \| Respond to of 15196

EARNINGS / Storm Energy Nine Month Report STORM ENERGY INC. POSTS RECORD NINE-MONTH RESULTS CALGARY, Nov. 21 /CNW/ - Calgary-based Storm Energy Inc. announced record results for the nine-month period ended September 30, 1997. The table below shows the marked increases in revenues, cash flow and net income compared to the corresponding nine-month period ended December 31, 1996. September 30 December 31 1997 1996 % Change ------------------------------------------------------------------------- Revenue $9,496,104 $2,656,570 265 ------------------------------------------------------------------------- Cash Flow $4,969,881 $1,348,081 269 ------------------------------------------------------------------------- Cash Flow Per share (basic) $0.125 $0.062 - ------------------------------------------------------------------------- Net Income $1,284,189 $500,793 156 ------------------------------------------------------------------------- Net Income Per Share (basic) $0.032 $0.023 - ------------------------------------------------------------------------- Production increased dramatically in the third quarter. The daily average rate rose 57% to 1730 boe/d from the 1103 boe/d for the first six months of 1997. On the commodity front, Storm received an average price of $26.48/boe with operational and cash flow netbacks of $16.57/boe and $13.90 respectively. In the third quarter Storm drilled 6 wells (4.93 net) of which 2 (1.42 net) are producing oil well, 2 (1.5 net) were cased as successful gas wells and 2 (2 net) were abandoned. The company is very pleased with the success that they have had on their major property in the Evi area. The two wells drilled at Evi in the third quarter were put on production in October. Total production from the two wells is about 280 bopd (net) to Storm and the increased production will be reflected in Storm's fourth quarter results. A third Evi well is being drilled and should be completed by the end of November. A number of recompletions and pump optimizations were done and initial results were favourable. Since Storm took over the operation of this property in September, production has increased form a gross 1200 bopd to over 1700 bopd (1100 bopd net to Storm). Total production from all Storm properties in the Evi area now exceeds 2500 bodp (1600 net to Storm). Storm has been very successful in building an extensive, low-cost land position to provide drilling prospects for 1998 and beyond. Through a combination of acquisitions, farm-ins, and other options Storm gained access to approximately 50,000 acres (gross) of highly prospective lands as well as 40 square miles of 3D seismic in the Sawn, Ogston, Seal, Evi, and Ricinus regions of Alberta. A review of the data indicates a number of exciting prospects and Storm is committed to shooting another 40 square miles of 3D this winter on complementary lands. Storm believes that a number of exploration plays will be generated form the 3D seismic. Success on any one of these plays will have a significant impact on Storm's current oil and gas reserves and production. Storm is poised for continued growth through the remainder of 1997. The 1997-98 winter season has begun with the drilling of the first of six identified locations. With current production at approximately 2200 boe/d, another 200 boe/d behind pipe, and an active fourth quarter drilling program underway, Storm expects to exceed its 1997 exit rate of 2500 boe/d. Storm is a rapidly growing oil and gas, exploration and production company based in Calgary, Alberta. Storm's common shares are traded on the Alberta Stock Exchange under the symbol ''SME''.

To: Kerm Yerman who wrote (7360)	11/22/1997 4:09:00 AM
From: Kerm Yerman	Respond to of 15196

MEDIA / Petro-Canada Says Refinery Unit Still Down Friday November 21, 6:12 pm Eastern Time CALGARY, Nov 21 (Reuters) - Petro-Canada [NYSE:PCZ - news] said on Friday that one of two crude units at its Oakville, Ontario refinery would remain down over the weekend while the company assessed damage after a minor explosion on Thursday. In the meantime, petroleum products were still being produced by both trains at the plant because there was no damage downstream from the incident, Petro-Canada spokesman Tony Pargeter said. ''We are continuing to produce products out of both sides of the plant and we are assessing the extent of the damage,'' Pargeter said. ''I expect by Tuesday we'll have a firm idea of when it will be completely up and running again.'' He said Petro-Canada's customers had been assured all their needs would continue to be met despite the operational problems. The side of a fire box on a heater at the 81,000 barrel a day plant blew out on Thursday, knocking out the crude unit which makes up half the refinery's capacity. No fire or injuries were reported. The refinery at Oakville, just outside Toronto, is the smallest of three operated by Petro-Canada.

To: Kerm Yerman who wrote (7360)	11/22/1997 4:43:00 AM
From: Kerm Yerman	Read Replies (1) \| Respond to of 15196

REPORT / Gordon Market Opening Notes, November 18, 1997 Norcen Energy (NCN-T:$31,60) BUY Shares Worth At Least $38 On A Take Over With the announcement by Noranda that it intends to sell its 49% interest in Norcen Energy, and the fact that the shares have weakened considerably during the past month, we are re-instating our BUY recommendation and maintaining our target price of $38 per share. While the market capitalization of Norcen is currently approximately $3.3 billion, making it a large acquisition, we believe there will be a number of interested parties looking at acquiring the control block. Norcen offers a solid operating base in the Gulf of Mexico and Venezuela in addition to its conventional assets in Western Canada. Earlier this year the company acquired Basic Petroleum which provides a large position in the Guatemalan oil industry, both upstream and downstream. The company also has operations in Argentina and Australia. We have revised our cash flow estimates for this year down to $6.00 per share (vs. $6.20 previously) and are maintaining our $6.95 per share estimate for next year. Norcen is in good financial position with debt currently equaling 1.5 times our 1998 estimated cash flow. The company offers modest growth in most of its operating areas and our target price of $38 per share is based on a multiple of 5.5 time next year's cash flow.