16th Apr 2008 07:28
Centrica enters into agreement to acquire Canadian assets from TransGlobe Energy Centrica plc today announced that its North American subsidiary, Direct Energy,has made an agreed offer to acquire the Canadian based oil and gas assets ofTransGlobe Energy Corporation (TSX:TGL, NASDAQ:TGA), for a total cashconsideration of C$56.7 million (£28.4 million). Internal assessments indicatethat this acquisition will increase Direct Energy's reserves by at least 15Bcfe. The assets acquired are located next to Direct Energy's current gas portfolio inAlberta. In addition to a production base of 8.7 Mmcfe per day (of which 75 percent is natural gas), the acquisition also includes 50,000 acres of land withdevelopment potential. Deryk King, Managing Director, Centrica North America said: "TransGlobe Energy'sCanadian assets are an excellent fit with Direct Energy's current upstreamportfolio. This acquisition reaffirms our commitment to growing the profitstream from this important part of the business." The transaction is expected to close by the beginning of May and is not subjectto shareholder approval. \* TEnquiries: Centrica Investor Relations: 01753 494900Centrica Media Relations: 0845 072 8001\* T Copyright Business Wire 2008Related Shares:
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