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

To: Herb Duncan who wrote (10819)	5/20/1998 9:48:00 PM
From: Herb Duncan	Read Replies (1) \| Respond to of 15196

MERGERS-ACQUISITIONS / Draig Energy to Make Offer for Kensington Energy ASE SYMBOL: DRA MAY 20, 1998 CALGARY, ALBERTA--Draig Energy Ltd. (ASE:DRA) announced today that it intends to make an offer for all Class A shares and Class B shares of Kensington Energy Ltd ("Kensington"). Kensington shareholders will have the option of receiving $0.70 or 0.4667 common shares of Draig Energy Ltd. for each Class A share of Kensington and $1.40 or 0.9333 common shares of Draig for each Class B share of Kensington subject to aggregate limits of $2,000,000 and 1,700,000 common shares of Draig for the Class A shares and $1,000,000 and 1,200,000 common shares of Draig for the Class B shares. Details of the offer, which is conditional upon, among other things, a minimum of 66 2/3 percent of each class of the Kensington shares being tendered and the nonconversion of the Class B shares, are expected to be mailed to Kensington shareholders on or about June 2, 1998. The offer price represents premiums of approximately 37 percent and 87 percent over the 10 day weighted average closing price of the Class A and Class B shares respectively. Draig intends to acquire all the Class A and Class B shares of Kensington and combine the operations of Draig and Kensington. The combined company will continue to trade on the ASE under the symbol "DRA". "Draig and Kensington are working interest owners in the Giroux Viking "F" Pool owning 6 percent and 40 percent respectively. Water flooding of the reservoir will commence upon completing unitization and this is expected to enhance production." says Les Treitz, President and CEO of Draig. "The combination of Kensington and Draig will result in a company with a larger asset base and with increased financial capability to compete more effectively in the oil and gas industry in Canada. The combined company should have improved market liquidity resulting from the increased capitalization and larger public float of the combined entity. Draig has had access only to Kensington's public information and estimates that on a consolidated basis, Draig will have proven plus 1/2 probable reserves of approximately 4.26 million barrels of oil equivalent. The combined company will have an undeveloped land base in excess of 74,000 net acres of undeveloped land." Draig has retained Peters & Co. Limited as its financial advisors for this transaction.

To: Herb Duncan who wrote (10819)	5/21/1998 4:16:00 PM
From: SofaSpud	Respond to of 15196

ACQUISITIONS / National-Oilwell NATIONAL-OILWELL ANNOUNCES ACQUISITION OF SPECIALTY TOOLS LTD. HOUSTON, May 21 /CNW/ - National-Oilwell, Inc. (NYSE: NOI) today announced the acquisition of all of the outstanding capital stock of Specialty Tools Ltd., an Aberdeen-based company specializing in the design and engineering of downhole tools for the thru-tubing market with particular emphasis on coiled tubing drilling and workover. ''Coupled with the acquisition of Calgary-based Versatech International Ltd., provider of coiled tubing tools, coiled tubing well head equipment and services, these acquisitions mark our entry into the downhole coiled tubing market and complement our current offering of downhole products. The combination of Versatech's manufacturing capabilities and Specialty's design and engineering strength allows growth opportunities above the levels the companies could achieve independently and furthers our objective to be the preferred supplier of downhole products and services. Both companies' products will be made available to the U.S. and international markets through our existing sales organization,'' said Doug Frame, President of the Downhole Products Group. National-Oilwell is a worldwide leader in the design, manufacture and sale of machinery, equipment and downhole tools used in oil and gas drilling and production, as well as in the distribution to the oil and gas industry of maintenance, repair and operating products. Statements made in this press release that are forward-looking in nature are intended to be ''forward-looking statements'' within the meaning of Section 21E of the Securities Exchange Act of 1934 and may involve risks and uncertainties. These statements may differ materially from actual future events or results. Readers are referred to documents filed by the Company with the Securities and Exchange Commission, including the Annual Report on Form 10-K, which identify significant risk factors which could cause actual results to differ from those contained in the forward-looking statements. -30- For further information: Steve Krablin of National-Oilwell, Inc., (713) 960-5506