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

To: Kerm Yerman who wrote (11355)	6/20/1998 10:55:00 PM
From: Herb Duncan	Respond to of 15196

FIELD ACTIVITIES / Richland Announces Successful Exploration Results TSE, ASE SYMBOL: RLP.A JUNE 19, 1998 CALGARY, ALBERTA--Richland Petroleum Corporation today announced the successful completion of several exploratory wells drilled in the first quarter of 1998, which will lead to increased production levels in the second half of 1998. At Kingsford, Saskatchewan, an exploration well drilled into the Midale zone (W.I. 100 percent) has been successfully production tested and is now on pump at rates exceeding 150 barrels of light oil per day. This is the third zone successfully completed in this property, which is producing in excess of 450 barrels per day net to Richland. At Huntoon, Saskatchewan, the Red River well (W.I. 50 percent) placed on production immediately before break-up has now been acidized and is flowing in excess of 500 barrels per day of light oil. At McLean Creek, in northwestern Alberta, a Granite Wash exploratory success (W.I. 50 percent BPO, 25 percent APO) has been completed and flowed at rates in excess of 500 barrels per day of 46 degree API light oil on test. Production facilities are being installed and preparations are being made to shoot a 3D seismic program. Current interpretations suggest three to four follow-up wells on this structure and the potential for two other structures on Richland 50 percent working interest lands. At Bienfait, Saskatchewan, the first new horizontal well (W.I. 90 percent) was recently completed in the Midale zone and is currently being production tested. Mr. Richard A. M. Todd, President and CEO commented "These completions cap a very successful exploration program for Richland in the first half of 1998. With this new production on stream, we are confident of reaching our forecast average daily production of 4,200 barrels per day for 1997, which represents 20 percent growth over 1997. With several high impact exploration wells to be drilled in the second half, plus our development program from earlier exploration successes, our exit production volumes will reflect a return to exciting growth for Richland." Richland Petroleum Corporation is a public company involved in the exploration and development of crude oil and natural gas in western Canada and the United States. Its shares trade on the Alberta and Toronto Stock Exchanges under the symbol "RLP.A".

To: Kerm Yerman who wrote (11355)	6/20/1998 10:59:00 PM
From: Herb Duncan	Respond to of 15196

SERVICE SECTOR / Schlumberger and Camco Announce Merger Agreement NYSE SYMBOL: SLB AND CAMCO INTERNATIONAL, INC. NYSE SYMBOL: CAM JUNE 19, 1998 NEW YORK, NEW YORK--Schlumberger and Camco today announced the signing of a definitive merger agreement by Schlumberger Technology Corporation, a wholly owned subsidiary of Schlumberger, and Camco, which was unanimously approved by the boards of directors of the companies. The combined company will offer an unmatched array of oilfield services to its customers for reservoir optimization throughout the world. Under the terms of the agreement, Camco shareholders will receive 1.18 newly issued shares of Schlumberger common stock for each outstanding share of Camco common stock. The exchange ratio is fixed and not subject to adjustment. The transaction is expected to be tax free to Camco shareholders and will be accounted for as a pooling of interests. Based on the closing price of Schlumberger yesterday at $69 15/16 and Camco's 38 million common shares outstanding, the transaction is currently valued at about $3.14 billion. Consolidated operating revenue and net income of Schlumberger and Camco would have been approximately $11.6 billion and $1.38 billion in 1997. The current combined market capitalization is approximately $37 billion. Camco will be operated as a division within the Schlumberger Oilfield Services group. Euan Baird, Chairman and Chief Executive officer of Schlumberger, said, "This combination provides an exciting opportunity to further enhance our position as the leader in the reservoir optimization business. The highly complementary activities of Camco improve our capability to respond to customers' demands for integrated solutions and to engineer systems to improve the productivity of their oil and gas operations." Gilbert Tausch, Chairman and Chief Executive Officer of Camco, said, "This merger satisfies Camco's strategic plan to be able to participate in more phases of our customers' field operations. Camco will be able to add its technology of production operations to the well known technology of Schlumberger in areas of reservoir enhancement. We have practically no overlap of operations and have worked successfully with Schlumberger in many areas of the world". Schlumberger and Camco have historically been the most profitable companies in their peer group. Both companies have an extensive geographic presence worldwide, exhibit an excellent cultural fit and share strengths in relationships with customers, governments and suppliers. The merger will enhance services for customers, broaden opportunities for employees, and add value for shareholders. The transaction is expected to be accretive to earnings per share in 1999, which is anticipated to be the first full year of combined operations. It is subject to the approval of Camco shareholders as well as customary regulatory approvals. The transaction is expected to close around the end of the third quarter of 1998. Schlumberger is a worldwide leader in technical services with 63,500 employees and operations in over 100 countries. In 1997, revenue was $10.65 billion. Camco International Inc. is a worldwide oilfield equipment and service company providing specialized products and services in drilling, well completion, production and well services for the oil and gas industry. Camco's trade names include Camco Coiled Tubing Services, Camco Products, Camco Wireline, Hycalog, Lasalle Engineering, Lawrence Technology, Production Operators, Reda, Reed Tool and Site Oil Tools.

To: Kerm Yerman who wrote (11355)	6/20/1998 11:01:00 PM
From: Herb Duncan	Respond to of 15196

ENERGY TRUSTS / APF Announces Monthly Distribution of $0.12 Per Unit;Acquisition of Wayne-Rosedale Completed TSE SYMBOL: AY.UN JUNE 19, 1998 CALGARY, ALBERTA--APF Energy Trust announced that the cash distribution for the production month of May 1998 will be $0.12 per unit. The distribution will be made on July 15, 1998 to unitholders of record on June 30, 1998. This is the first distribution made since APF changed the record date to the last day of each month. The payment date will remain the 15th day of the following month. With this latest payment, unitholders will have received $1.13 per unit since January 1, 1998. In other news, APF confirmed that its previously-announced acquisition of the Wayne-Rosedale property (news release dated May 13, 1998) was completed on June 8, 1998. This purchase adds significantly to APF's current operations in Southern Alberta, where core areas already exist at Countess, Caroline and Joarcam. Wayne-Rosedale represents APF's largest development project. Through optimization and infill drilling, management believes that production, currently at approximately 385 boepd, could increase to more than 1,050 boepd by the year 2000.

To: Kerm Yerman who wrote (11355)	6/20/1998 11:04:00 PM
From: Herb Duncan	Respond to of 15196

CORP / Denbury Resources Inc. Announces Revised 1998 Capital Budget TSE, NYSE SYMBOL: DNR JUNE 19, 1998 DALLAS, TEXAS and CALGARY, ALBERTA--Denbury Resources Inc. (NYSE-DNR)(TSE-DNR.)(the "Company"), announced today that in response to the current low oil prices, it was further reducing its 1998 development and exploration expenditures, particularly those related to oil properties. The Company anticipates that these expenditures will be reduced to approximately $60 million, down from its previously announced level of $75 million and an initial level of $95 million. As a result of these two capital expenditure reductions, the Company believes its production should remain relatively close to its current production level of approximately 22,000 BOE per day for the remainder of the year, excluding any increases from potential acquisitions or decreases due to unexpected events. At the Company's Heidelberg Field, the net field oil price in the past week has dipped below $8 per Bbl and as a result, the horizontal drilling program there has been suspended. So far this year the Company has drilled five horizontal Christmas sand wells which are currently on production at an aggregate of 1,000 BOE per day. A sixth well awaits completion. A further 14 horizontal wells were originally planned for 1998 and these will now be postponed until oil prices recover. The expenditures for the remainder of 1998 at this field will be limited to projects that may impact future years, such as the expenditures on facilities and injection wells in the East Heidelberg waterflood unit which are not expected to have any initial impact on production until 1999. As of June 17, 1998, the Heidelberg Field was producing approximately 4,000 BOE per day net to Denbury, up from approximately 2,700 BOE per day in January, 1998 when the field was acquired. In further response to the effect of the low oil prices and to mitigate further price-related negative effects on its cash flow, the Company entered into financial contracts ("no cost collars") to hedge 35 MMcf/d of natural gas production for the next twelve months. The collars have a floor of $1.90 per MMBtu and a ceiling of $2.96 per MMBtu. These contracts cover approximately 85 percent of the Company's current natural gas production. Denbury is a natural resource company with operations in the states of Louisiana, Mississippi and Texas. This press release, other than historical financial information, contains forward looking statements that involve risks and uncertainties including budgeted capital expenditures and expected production results and other risks and uncertainties detailed in the Company's SEC reports, including the report on Form 10-Q for the quarter ended March 31, 1998. Actual results may vary materially.

To: Kerm Yerman who wrote (11355)	6/20/1998 11:06:00 PM
From: Herb Duncan	Respond to of 15196

FIELD ACTIVITIES / Hegco Canada, Inc. - Completion of El Grande Well Set to Begin ASE SYMBOL: HEG JUNE 19, 1998 EDMOND, OKLAHOMA--HEGCO Canada, Inc., is pleased to announce that the completion process, of the El Grande well in Arkansas, is set to begin the week of Monday, June 22, 1998. The company has completed sufficient analysis of the El Grande well to implement a fracture treatment program. HEGCO has today received sufficient funding to permit the Corporation to complete the El Grande well. The financial commitment has been received in connection with the exercise of previously issued share purchase warrants and pursuant to the Corporation's current equity offering of Units consisting of one common share and share purchase warrant. The price of each Unit is $2.50. Each share purchase warrant may be exercised into one Common Share upon payment of $3.25 and will expire twelve months from the date of its issuance. A maximum of 1,000,000 Units will be sold under the offering. HEGCO Canada, Inc., is an Alberta, Canada corporation trading on the Alberta Stock Exchange under the symbol "HEG". The Corporation is an oil and gas production, servicing and drilling company operating in Oklahoma and Arkansas. On Behalf of the Board: Douglas C. Hewitt, Director, Chairman

To: Kerm Yerman who wrote (11355)	6/20/1998 11:10:00 PM
From: Herb Duncan	Read Replies (6) \| Respond to of 15196

FIELD ACTIVITIES / Petroflow Announces Successful Chamberlain Well CDN SYMBOL: PFNG.A JUNE 19, 1998 HUBBARDS, NOVA SCOTIA--Petroflow Energy Ltd. says that the first horizontal well at its Chamberlain basal quartz oil pool (27 degrees API) has been drilled and completed, and placed on production June 7, 1998. The well's horizontal lateral intersected over 275m of reservoir of which 175m encountered excellent reservoir quality. Average production to date has been approximately 315 barrels of oil per day with a 5 percent water cut. The current production rate is approximately 375 barrels of oil per day with a 5 percent water cut and a 50 percent draw down. Petroflow has a 12.5 percent working interest in the project which is operated by Tier One Energy Corp. The Chamberlain Blairmore oil pool located near Edmonton, Alberta, which has had cumulative production of 200,000 barrels of oil to date from vertical wells, has been allocated at least 3,200,000 barrels of oil in place by the Energy Utilities Board of Alberta (the "EUB"). The EUB allocation of oil in place is based on data from these vertical wells. Petroflow expects to drill an additional three horizontal wells into the Chambelain oil pool, and to install battery facilities, in the third quarter of 1998, with potential follow-up locations thereafter. Petroflow is an emerging junior oil and gas company, the Class A shares of which are quoted and traded on the Canadian Dealing Network under the symbol "PFNG.A"

To: Kerm Yerman who wrote (11355)	6/20/1998 11:18:00 PM
From: Herb Duncan	Respond to of 15196

SERVICE SECTOR / Schlumberger-Camco Joint Conference Call Recording To Be Made Available NYSE SYMBOL: SLB AND CAMCO INTERNATIONAL INC. NYSE SYMBOL: CAM JUNE 19, 1998 NEW YORK, NEW YORK--A recording of this morning's joint conference call discussing the merger agreement between Schlumberger and Camco, including the question and answer session, will be replayed starting at noon Eastern Time on Friday, June 19. In the United States, please call toll free 1-888-888-9540, and enter pin code 1995. Outside the US, please call 402-220-9917, and enter pin code 1995.

To: Kerm Yerman who wrote (11355)	6/20/1998 11:21:00 PM
From: Herb Duncan	Respond to of 15196

MEDIA / RE: CAPL Hosts Bolivian Government Officials JUNE 19, 1998 CALGARY, ALBERTA--The Canadian Association of Petroleum Landmen will be hosting Bolivian Minister of Foreign Trade and Investment Jorge Crespo Velasco and Vice Minister of Energy and Hydrocarbons Carlos Alberto Lopez at its upcoming Topical Issues Luncheon. The meeting will be held at the Palliser Hotel Crystal Ballroom in Calgary, on Tuesday June 23, 1998. It is expected that the luncheon which runs from 11:30am to 1:30pm will provide an opportunity for Mr. Crespo Velasco and Mr. Lopez to highlight some of the major changes in the Bolivian oil and gas sector including the Capitalization of that industry. The CAPL believes this will provide a unique chance for companies to better understand the emerging benefits for investment in Bolivia, as well as discuss the upcoming September public land sale. The upcoming public offering will represent the second ever public sale of mineral rights in Bolivia. The Canadian International Development Agency (CIDA/ACTE) in conjunction with Petro-Canada as project manager is working closely with the Bolivian government to continue developing new hydrocarbon laws and regulations including the implementation of AEUB equivalent policies for companies operating in that region. Representatives of the Canadian Federal, Provincial and Municipal governments will also be on hand at the luncheon. During the one-day visit to Canada, Bolivian officials will also meet with senior petroleum company executives and senior service company executives to discuss specific issues related to the current status of the industry. Parties interested in attending this upcoming luncheon should contact the CAPL Office at (403) 237-6635 ext. 544 or by Email: CAPL_Office@qc-data.com. Guest tickets are available at a cost of $26.75. The Canadian Association of Petroleum Landmen is a professional association whose membership includes individuals responsible for the acquisition, administration, and disposition of mineral and/or surface rights for petroleum exploration companies, as well as related service and financial companies in the energy industry. Distributed courtesy of Baytex Energy Ltd.

To: Kerm Yerman who wrote (11355)	6/20/1998 11:25:00 PM
From: Herb Duncan	Respond to of 15196

MERGERS-ACQUISITIONS / The Board of Directors of Kensington of Draig Offer ASE SYMBOL: KNN.A KNN.B JUNE 19, 1998 CALGARY, ALBERTA--The board of directors of Kensington Energy Ltd. ("Kensington"), has concluded that the offer from Draig Energy Ltd. ("Draig") for all of the Class A and Class B Shares of Kensington is inadequate and unfair to Kensington's shareholders and does not reflect the full value of Kensington's underlying assets. The special committee of the board of directors received advice and valuation analysis from its financial advisor, Griffiths McBurney & Partners ("Griffiths McBurney"). Kensington and Griffiths McBurney have concerns about the current market price of Draig's common shares relative to Draig's underlying value. Kensington and Griffiths McBurney do not believe Draig will achieve its previously stated production forecast unless excessive debt is utilized to purchase producing assets or Draig assumes unrealistic sustainable production rates from newly drilled wells which have no independent reserve valuation or dependable production history to provide any confidence in the Draig estimates. Kensington, in its review of Draig, has already noted rapid production declines at Draig's Chigwell property, where production net to Draig has declined from 305 bbl/d on November 30,1997 to approximately 20 bbl/d in April. This raises concerns about corresponding booked reserves and also explains the cautionary approach taken by Kensington to public announcements by Draig concerning its production forecasts, production exit rates and related drilling results. Because the offer is inadequate and unfair as well as other considerations regarding Kensington's future stand-alone potential and concerns about a business combination with Draig, the board of directors of Kensington unanimously recommends that the offer be REJECTED and that shareholders NOT tender their Shares to the offer. Each of the directors and officers of Kensington, representing aggregate holdings of approximately 15.7 percent of the Class A Shares, has indicated his intention not to accept the offer. A Directors' Circular which will more fully describe the board of directors' recommendation and supporting analysis will be mailed to Kensington shareholders on Monday, June 22. Kensington's Class A Shares and Class B Shares trade on The Alberta Stock Exchange under the symbols KNN.A and KNN.B, respectively.