Paramount Resources Ltd. has agreed to acquire Calgary-based junior independent ProspEx Resources Ltd., the companies said Friday. Under the agreement, ProspEx shareholders may elect to receive either C$2.40 in cash or 0.07162 of a Paramount Class A common share per ProspEx share, subject to pro ration, such that 2,000,000 Paramount shares will be issued. The transaction values ProspEx at $186 million, including net debt and transaction costs. ProspEx, which was formed in 2004 by the reorganization of Esprit Exploration Ltd. (see Daily GPI, Oct. 5, 2004), owns rights to 90,000 net undeveloped acres in West Central Alberta and the Deep Basin. Assuming approval by regulators and ProspEx shareholders, the deal is expected to be completed by the end of May. The ProspEx board has approved the deal and will recommend that shareholders approve it as well, the company said.
A Swedish arbitral tribunal has ruled that BP plc may meet with Russia's OAO Rosneft to discuss extending a Thursday (April 14) deadline for their proposed $16 billion share-swap agreement (see Daily GPI, Jan. 18). The tribunal in March ruled in favor of BP's Russian partners in TNK-BP, which argue that the Rosneft tie-up would violate their shareholder agreement (see Daily GPI, March 28).
Rhode Island Senate lawmakers unanimously passed a resolution opposing the proposed Weavers Cover Energy LLC liquefied natural gas (LNG) receipt terminal, which would be sited in Fall River, MA. If the project were built, LNG tankers would traverse Rhode Island waters. The resolution was to be forwarded to the Federal Energy Regulatory Commission recommending that any approval of the project require the consent of the Rhode Island Coastal Resources Management Council.
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