Canadian Forest Ltd. acquires Unocal Canada Limited Northwest Territories interests
(The following news release was issued by Canadian Forest Ltd.)
CALGARY, May 21, 1998 - Canadian Forest Oil Ltd. has entered into an agreement with Unocal Canada Limited and Unocal Canada Exploration Limited to acquire their assets in the Northwest Territories as well as two offshore permits in the vicinity of the Queen Charlotte Islands, British Columbia, and a Significant Discovery License in the Beaufort Sea.
Key assets acquired include Unocal's 35% working interest in the recently announced P-66 gas discovery located in the Fort Liard area. Prior to the acquisition, Canadian Forest held a 15% working interest in the play. Also acquired are over 225,000 net acres of land in the Territories as well as 110,000 acres of land in off-shore British Columbia.
This acquisition also complements Canadian Forest's activity in the Norman Wells area of the Central Mackenzie Valley where the company has an active exploration program. Three exploratory wells drilled last winter are to be followed up by an active seismic acquisition and drilling program during the upcoming season.
Included in the assets is a 6% interest in a Beaufort Sea discovery at Adlartok, Canadian Forest Oil Ltd. currently owns an interest in Adlartok and varying interests in 19 other Significant Discovery Licenses (SDL's) in the Beaufort Sea - Mackenzie Delta area.
Canadian Forest Oil Ltd. is a wholly owned subsidiary of Forest Oil Corporation (NYSE:FST) of Denver, Colorado. Canadian Forest is actively involved in the exploration and production of oil and gas as well as the marketing of natural gas through its wholly owned subsidiary, Producers Marketing Ltd. (ProMark).
Updated: May 1998