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

To: Kerm Yerman who wrote (14637)	1/5/1999 9:25:00 PM
From: Herb Duncan	Respond to of 15196

CORP / Causeway Reports the Sale of a Significant Portion of its Natural Gas Interests at Midwinter, British Columbia for $4.7 Million Cash VSE SYMBOL: CUW JANUARY 5, 1999 CALGARY, ALBERTA--Causeway Energy Corporation (Causeway)(VSE-CUW) is pleased to report the sale of a significant portion of its assets in the Midwinter area of northeastern British Columbia. The cash sale of $4.7 million has an effective date of January 1, 1999. The sale included interests in 8 wells producing just over 2 mmcf/d and 3,900 acres of undeveloped land. Causeway has retained a small interest in six producing wells and ten spacing units. Proceeds from the sale will be used to retire Causeway's long term debt of $2.6 million and will significantly enhance the company's development and acquisition strategies. At Turin, Alberta, Causeway completed acquisition of its fourth 3-D survey in the area. The company has plans for a 5 well drilling program during the upcoming first quarter. Additionally, Causeway's plans are to exploit the producing assets and significant land base in Battle Creek, Montana. Armed with just under $3 million cash and no debt, Causeway is focusing on acquiring a new core area to complement its two existing core assets at Turin and Battle Creek.

To: Kerm Yerman who wrote (14637)	1/5/1999 9:28:00 PM
From: Herb Duncan	Respond to of 15196

CORP / Newport Petroleum Appoints VP Finance and CFO TSE SYMBOL: NPP JANUARY 5, 1999 CALGARY, ALBERTA--NEWPORT PETROLEUM CORPORATION is pleased to announce that George Crookshank has been appointed Vice President of Finance and Chief Financial Officer effective January 11, 1999. Mr. Crookshank is a Chartered Accountant with more than 20 years of experience in the oil and gas industry. Previously, he held senior financial positions with a number of intermediate sized oil and gas companies. Sid Dykstra, President and Chief Operating Officer, says " Mr. Crookshank is an excellent addition to Newport's management team. His appointment confirms Newport's commitment to growth and our plan to continue to build a pre-eminent Canadian oil and gas exploration Company."

To: Kerm Yerman who wrote (14637)	1/5/1999 9:30:00 PM
From: Herb Duncan	Respond to of 15196

FINANCING / RE: Middlefield Group - Announcing Final Closing Of IPO MRF 1998 III Limited Partnership JANUARY 5, 1999 TORONTO, ONTARIO--Middlefield Group, on behalf of MRF 1998 III Limited Partnership, is pleased to announce the completion of the final closing of its public offering on December 31, 1998. The Partnership has issued 19,161 Units for gross proceeds of $19,161,000. The Partnership invested in flow-through shares of the following companies: Poco Petroleum Ltd., Compton Petroleum Corp., Blue Range Resource Corporation, Magin Energy Inc., Merit Energy Ltd., Probe Exploration Inc. and Tri Link Resources Ltd. Investors in the Partnership will own an interest in the above listed portfolio of public Canadian oil and gas company common shares purchased on a "flow-through" basis. This means that investors will be able to fully deduct their investment from taxable income. Units will be rolled into a top performing resource mutual fund, the Middlefield Growth Fund, in early 2001. The Growth Fund was ranked number one in the three and five year periods ending September 30, 1998 by the Financial Post Report on Mutual Funds. MRF 1998 III Limited Partnership is Middlefield's 20th resource investment partnership since 1987. Middlefields's partnerships have raised $325 million, including over $60 million in 1998, for investment in flow-through shares of Canadian resource companies. Over the past 15 years, Middlefield has acted as agent or manager for over $600 million in equity capital invested in the resource sector.

To: Kerm Yerman who wrote (14637)	1/5/1999 9:33:00 PM
From: Herb Duncan	Respond to of 15196

PROPERTY DISPOSITION / Danoil Announces Sale of Non-core Properties and Increase in Natural Gas Production TSE, ASE SYMBOL: DAN JANUARY 5, 1999 CALGARY, ALBERTA--Danoil Energy Ltd. (Danoil) announces that it has agreed to sell properties for total consideration of $6.4 million. The consideration consisted of $5.45 million in cash, $614,000 in a promissory note and $300,000 in common shares. A total of $4.1 million in sales closed prior to December 31, 1998. All proceeds will be utilized to reduce bank indebtedness. Included in the sale was Danoil's interest at the Carson Creek gas plant, 3,840 acres of undeveloped land, a shut-in gas well, several minor natural gas producing properties and a heavy oil property. Total production from the properties sold was 750 mcf/d and 141 bopd or 216 barrels of oil equivalent per day. Danoil intends to continue to sell additional non-core properties for an approximate $2.0 million. Danoil was able to achieve its year end target of 14 million cubic feet per day of natural gas production. After giving effect to the dispositions, oil volumes are 2,160 bopd with 400 bopd of heavy oil remaining shut in and 13.25 million cubic feet per day of natural gas resulting in total current production of 3,485 barrels of oil equivalent per day. In 1998, activity at Judy Creek resulted in four productive wells adding an estimated 3.8 mmcf/d (net 1.56 mmcf/d). This week Danoil will commence the first of four new wells (100 percent working interest) to be drilled at Judy Creek. This area continues to be the prime area of interest as Danoil pursues its goal of balancing its gas/oil production ratio. In 1997 Danoil averaged 5.8 mmcf/d as compared to 9.5 mmcf/d in 1998. Currently the Company production mix is approximately 38 percent natural gas (13.25 mmcf/d), 22 percent light oil, 18 percent medium oil and 22 percent heavy oil.

To: Kerm Yerman who wrote (14637)	1/5/1999 9:36:00 PM
From: Herb Duncan	Respond to of 15196

MERGERS-ACQUISITIONS / DELANEY ENERGY SERVICES CORPORATION ("Delaney") Announces Completion of Amalgamation ASE SYMBOL: DLY JANUARY 5, 1999 CALGARY, ALBERTA--At the Annual and Special Meeting of shareholders of Potential Technologies Inc. ("the Corporation") held on October 13, 1998, shareholders voted to approve the acquisition of all the issued and outstanding Class A shares of Delaney Energy Services Corp. ("DESC"), pursuant to a securities exchange takeover bid. Approval was also obtained to change the corporate name of the Corporation to Delaney Energy Services Inc., and for the consolidation of its common shares on a three-for-one basis. On December 24, 1998, The Alberta Stock Exchange issued its Bulletin confirming the completion of the Corporation's Major Transaction. All of the Class A shareholders of DESC have tendered their shares under the offer to purchase and the Corporation now has 11,294,117 common shares issued and outstanding. Effective January 1, 1999, the Corporation and DESC amalgamated under the name of Delaney Energy Services Corporation. The common shares of Delaney trade under the symbol "DLY". Delaney Energy Services Corporation is an integrated service company serving the western Canadian oil and gas industry. The Corporation provides its services through three divisions: Chadco Canada Ltd., manufacturer of wellsite process facilities; Production Testing Division, provider of production testing from its offices in Grande Prairie and Calgary; and Elite Petroleum Consulting, provider of pressure transient analysis and testing supervision services.

To: Kerm Yerman who wrote (14637)	1/5/1999 9:38:00 PM
From: Herb Duncan	Respond to of 15196

FINANCING / RE: Forte Energy Closes Financing JANUARY 5, 1999 CALGARY, ALBERTA--Forte Energy Ltd. announces that in December, 1998 it closed two financings which raised $3.5 million from the issuance of 2,187,500 flow through common shares. The shares were issued through a syndicate of agents lead by FirstEnergy Capital Corp. and included Griffiths McBurney & Partners and Newcrest Capital Inc.. The cash will be used to fund a portion of the company's 1999 exploration and development program. Forte Energy Ltd. is a private company that is engaging in oil and gas exploration with a primary focus on natural gas prospects in higher quality, thoroughbred reservoirs located in Alberta and BC, primarily west of the 5th meridian. The principals of the company are T.J. MacKay, Chairman and Chief Executive Officer, Doug Baker, President and Chief Financial Officer, and R. Bruce Hammond, Senior Vice President and Chief Operating Officer.

To: Kerm Yerman who wrote (14637)	1/5/1999 9:40:00 PM
From: Herb Duncan	Respond to of 15196

FINANCING / Justinian Closes Private Placement ASE SYMBOL: JEL JANUARY 5, 1999 CALGARY, ALBERTA--JUSTINIAN EXPLORATIONS LTD. (JUSTINIAN) ANNOUNCES that it closed a private placement of 3,410,000 flow through shares at a price of $0.10 per share for gross proceeds of $341,000 on December 31, 1998. The proceeds from this private placement will be used to fund the company's exploration and development activities. Justinian Explorations Ltd. is an oil and gas company based in Calgary, Alberta. The common shares of the Company are listed on the Alberta Stock Exchange under the symbol "JEL".

To: Kerm Yerman who wrote (14637)	1/5/1999 9:47:00 PM
From: Herb Duncan	Respond to of 15196

FINANCING / Veteran Completes Private Placement ASE SYMBOL: VTI JANUARY 5, 1999 CALGARY, ALBERTA--Veteran Resources Inc. ("Veteran" or the "Corporation") (ASE: VTI) announces that it has completed a private placement of flow-through common shares. The Corporation has raised $167,500.00 through the issuance of 335,000 flow-through shares at a purchase price of $0.50 per share. The proceeds of the offering will be used to fund the Corporation's winter drilling program in Western Canada.

To: Kerm Yerman who wrote (14637)	1/5/1999 9:51:00 PM
From: Herb Duncan	Respond to of 15196

FINANCING / Moxie Petroleum Issues Common Shares ASE SYMBOL: MOX JANUARY 5, 1999 CALGARY, ALBERTA--Moxie Petroleum Ltd. ("MOX" - ASE) of Calgary announces that 1,043,620 common shares were issued for gross proceeds of $1,461,068 pursuant to its recently completed rights offering. The proceeds will be used to accelerate its exploration and development program on existing lands and to expand its activities on new prospects. The Company has 4,797,270 common shares and 5,988,270 pre-paid flow-through warrants outstanding.

To: Kerm Yerman who wrote (14637)	1/5/1999 11:41:00 PM
From: Kerm Yerman	Respond to of 15196

IN THE NEWS / Alberta oil to face challenge from old pipeline Formerly subsidized Sarnia-to-Montreal line will send crude west, creating possible displacement for U.S. shippers Tuesday, January 5, 1999 STEVEN CHASE - Globe & Mail Calgary -- The Sarnia-to-Montreal oil pipeline, a relic of the 1970s energy crisis, is preparing to ship North Sea crude westward in May and compete head-on with Alberta oil in Ontario. Calgary-based Enbridge Inc., formerly IPL Energy Inc., has spent $90-million reversing the flow of Line 9, as the pipeline is known in the industry. It is building pump stations to ship the crude in the opposite direction, to Sarnia, Ont. from Montreal. The 832-kilometre pipeline will transport offshore crude to Oakville, Nanticoke and the Sarnia region for use by refiners. The light, sweet and sour crude will come mainly from the North Sea. Industry observers predict Line 9 will give Alberta crude a run for its money by importing slightly cheaper oil. The refineries currently get their crude from Western Canada, the U.S. Gulf Coast and the U.S. Midwest. "It'll squeeze Alberta crude back to Alberta. The only possible impact is going to be negative," predicted Christopher Robb, an investment banker with Traction Capital in Calgary. "The only reason the refiners are going to use [Line 9 crude] is they want access to cheaper raw materials. You can't blame the refiners." Thomas Ebbern with Newcrest Capital Inc. said the effect of shipping more crude into Central Canada will be to add "injury on top of injury" for western producers already reeling from low prices worldwide. "Any time there's additional supply coming into a limited demand market, in this case refining, it can't be very positive." Shippers on Line 9 -- including Imperial Oil Ltd. of Toronto and Calgary-based Petro-Canada, Shell Canada Ltd. and Nova Chemicals Corp. -- all have refineries or chemical plants in Ontario. Imperial Oil spokesman Pius Rolheiser said refiners hope to save between 20 and 40 cents (U.S.) a barrel on the Line 9 oil, compared with benchmark West Texas Intermediate prices for Alberta crude. Line 9 was originally commissioned by Ottawa in the 1970s to guarantee a crude oil supply for Quebec at a time when fears over domestic energy self-sufficiency were rampant. Ottawa guaranteed IPL Energy it would cover budget shortfalls on Line 9 for 20 years and paid $200-million (Canadian) in subsidies between 1976 and 1991. The pipeline has shipped little crude since 1991. Line 9 shipments are expected to begin in May and will start at about 100,000 barrels a day, ramping up to 240,000 within three years. That means Line 9 will ship the equivalent of between 20 and 48 per cent of the crude flowing to Ontario from Western Canada. The Canadian Association of Petroleum Producers (CAPP) in Calgary estimates about 500,000 barrels of oil a day flow to Central Canada from Western Canada. Greg Stringham, CAPP's vice-president of markets and fiscal policy, said producers believe that the ones who will be hit first by the Line 9 crude will be U.S. shippers. "There's still some small question as to whether the displacement will happen with Western Canadian crude, but it's more likely the foreign crude coming up through the U.S. will be displaced." Ontario refiners import 70,000 to 80,000 b/d of crude from U.S. pipelines, according to Onno DeVries, manager of crude oil and fiscal policy at CAPP. The crude to be shipped through Line 9 from Montreal will come from the Portland Pipe Line and Montreal Pipeline systems, which run between Portland, Me., and Montreal.

To: Kerm Yerman who wrote (14637)	1/5/1999 11:47:00 PM
From: Kerm Yerman	Read Replies (33) \| Respond to of 15196

IN THE NEWS / Imperial Oil gets latest big tax refund TORONTO, Jan 5 (Reuters) - Imperial Oil Ltd. , Canada's biggest energy company, said on Tuesday it had pocketed a C$155-million tax refund from the Alberta government, the latest in a series of paybacks on taxes it overpaid in previous decades. Toronto-based Imperial, the affiliate of U.S. oil major Exxon Corp. , said the new settlement included about C$80 million in taxable interest and would result in a C$74-million gain to its fourth-quarter 1998 earnings. The company received a final tax refund from Canada's federal government of C$140 million in September, which came after an C$843-million payment in 1996. The big refunds, which other Canadian oil companies have received as well, are related to a 1992 Federal Court of Appeal decision in which Calgary-based Gulf Canada Resources Ltd. was awarded a C$60-million settlement for taxes it paid after deductions were eliminated by the country's tax authority. The issue dates back to 1974, when the federal government began banning the deduction of royalties and taxes paid by oil companies to provincial governments. At the same time, it introduced another tax deduction -- now called the resource allowance --to make up for the ban. But a host of companies criticized the complexity of the allowance and pushed the government to change the way it was calculated. Some of Imperial's latest refund from Alberta has already been accounted for in past earnings, it said. Imperial spokesman Jean Cote said the company still expected similar refunds from the provinces of Ontario and Quebec, but noted they would be much smaller. Imperial shares on the Toronto Stock Exchange closed up C$0.20 to C$24.60 on Tuesday. The refund announcement was made after the market closed.