Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

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

To: Kerm Yerman who wrote (13572)	11/18/1998 11:25:00 AM
From: Kerm Yerman	Respond to of 15196

IN THE NEWS / Newport Petroleum buys assets for $110M from Union Pacific Resources The Financial Post CALGARY -- Newport Petroleum Corp. is buying assets in southwestern Alberta from Union Pacific Resources Group Inc. for $110-million (US). The Calgary-based firm is buying UPR's 7.9% stake in the Caroline-Swan Hills gas unit number 1 and Caroline gas facilities. A gas-oriented intermediate, Newport produced an average 144 million cubic feet of gas a day in the first half of this year. A junior just a few years ago, it grew through exploration and acquisition. It shared in the recent discovery of a field in the Caroline area, northwest of Calgary, with Canadian 88 Energy Corp. The two firms are locked in a lawsuit over ownership of the field and how it should be developed. Ken Faircloth, analyst with Goepel McDermid Inc. in Calgary, said the UPR purchase probably reflects a strategic decision by Newport to concentrate on the Caroline area, which is rich in natural gas liquids. He said the Caroline plant, operated by Shell Canada Ltd., is expected to be full for several years before natural declines create any room for processing gas from such firms as Newport that own nearby reserves. Newport's shares closed down 40c yesterday at $6.05.

To: Kerm Yerman who wrote (13572)	11/18/1998 11:30:00 AM
From: Kerm Yerman	Respond to of 15196

IN THE NEWS / Petro-Canada to repay last of government debt New financing: S&P's triple-B-plus reflects company's satisfactory position The Financial Post Petro-Canada will issue $250-million (US) in unsecured 30-year debentures to retire the last of its debt guaranteed by Ottawa. The company said $250-million (Cdn) from the issue will be used to refinance government-guaranteed debt maturing Dec. 15. The money, issued in two tranches, paid for PetroCan's share of development costs of the Hibernia field off the shore of Newfoundland. Yesterday, Hibernia marked the first anniversary since oil started flowing from its fixed production platform. PetroCan is involved in the exploration, production, and refining and marketing of oil and gas. The remaining funds from the debt issue, maturing in 2028, will be used for general purposes. With the refinancing, Petro-Canada's remaining $1.58-billion in long-term debt is entirely from private sources, said spokesman John Percic. "Since the privatization of Petro-Canada, the company's ability to keep its financial house in order and its debt level under control means it should be able to access capital markets when they need them," said Michelle Dathorne, a fixed income analyst at Standard & Poor's Corp. in Toronto. The rating agency assigned a triple-B-plus to the issue, the same rating given to its other debt, reflecting PetroCan's satisfactory financial and operating position. The government reduced its interest in the former crown corporation to 18%, after share offerings in 1991 and 1995. While Ottawa has promised to sell its remaining interest, it does not seem to be in a hurry to do so. PetroCan shares (PCA/Tse) have been lagging those of other integrated producers, partly because of the overhang caused by government ownership. They fell a further 60c yesterday to close at $19.50. Like other oil companies, PetroCan's results are being dragged down by weak oil prices, which caused it to reduce capital spending by $100-million, to $1-billion for 1998. A bright spot this year was new production from Hibernia, offsetting declines from Western Canada. PetroCan holds a 20% interest in the project, which produces about 100,000 barrels a day and could reach 185,000 b/d by 2000. Ottawa holds an 8.5% direct interest through the Canada Hibernia Holding Corp. With $2.1-billion in total debt, the company's financial profile is conservative for a Canadian oil and gas company and compares well with that of its peers, said

To: Kerm Yerman who wrote (13572)	11/18/1998 11:36:00 AM
From: Kerm Yerman	Read Replies (12) \| Respond to of 15196

IN THE NEWS / Canadian Occidental Petroleum signs oil deals on four Yemen blocks ADEN, Nov 18 -- Canadian Occidental Petroleum has signed production sharing agreements for four oil blocks in Yemen, official newspapers reported on Wednesday. CanOxy signed the deals for the four blocks in the Hadramaut and al-Maharah governorates with the Oil and Mineral Resources Ministry, the papers said. CanOxy began talks with the ministry for blocks 11, 12, 36 and 54 in August. The firm, which currently operates the Masila sector, produces about 200,000 barrels per day (bpd) of crude. Yemen is an independent oil producer on the southern tip of the Arabian peninsula with an output of about 380,000 bpd.