Canadian 88 Energy Corp. and Canadian Superior Energy Inc., involved in litigation over the past several months that played out loudly and often in the press, announced Friday that “all issues and all litigation between them” — including between former Canadian 88 CEO Greg Noval — have been “fully settled.” Noval is now CEO of Canadian Superior.

The companies, both headquartered in Calgary, said that all of the “existing” litigation had been formally discontinued. The announcement followed a back-and-forth battle between the two that apparently began when Noval, forced out by new stockholder Duke Energy, left to form the cross-town rival (see Daily GPI, March 21, 2000). Earlier this year, Noval launched an intense takeover bid, which was ultimately rejected by Canadian 88, but which led to litigation (see Daily GPI, June 27).

Along with announcing the end to litigation, the companies agreed to terminate an agreement under which Canadian 88 granted a right of first refusal to Canadian Superior on any farmout of Canadian 88’s undeveloped lands in Western Canada. The agreement had been set to expire Dec. 31, and with the termination, the companies no longer have any long-term contractual arrangements. With the exception of what they said were a “few” wells in which they both own interest, they no longer have any joint operations. Since June 20, they also have no common directors. Noval had been on Canadian 88’s board until June, but no longer has any involvement with the company other than as a shareholder.

The parties also agreed to not launch any takeover bids against each other, nor to requisition a meeting of any other party’s shareholders. Canadian 88 has scheduled a conference call Monday at 11 a.m. EDT for investors and the media. The call will be available at (888) 740-8120.

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