In a cash deal, Anadarko Petroleum Corp. is acquiring Canadian-based Gulfstream Resources Canada Ltd., an international oil and gas company whose assets are centered in Qatar and Oman. Anadarko will pay C$2.65 a share for the company, making it work about US$137 million, and will add an estimated 70 MMboe of proved reserves and 4,700 b/d of production to its portfolio.

Gulfstream, which had announced intentions to find a buyer earlier this year, has agreed to discontinue its efforts to seek and consider strategic alternatives, will close its data rooms and not solicit other proposals. Anadarko also has been given the right to match competing offers.

“The Gulfstream properties provide Anadarko with production and exploration in the Middle East, which offers a world-class petroleum system with high exploration success rates and low finding and developing costs,” said Anadarko President John N. Seitz. He said the properties give the Houston-based company a “solid base from which to grow production from existing fields and from future exploration.”

The agreement, already approved by Gulfstream’s board and officers, will be mailed to shareholders by July 6. Directors and officers hold 5.8% of the Gulfstream common shares, which will be tendered to Anadarko, and a break fee of C$8 million will be paid if the offer is not completed. Anadarko expects to close the transaction by the third quarter.

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