Whitecap Resources Inc. Consolidates Working Interests in its Valhalla and Garrington Light Oil Core Areas, Announces $170 Million Financing, Dividend Increase and Provides Increased 2013 Guidance
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June 27, 2013
WHITECAP RESOURCES INC. CONSOLIDATES WORKING INTERESTS IN ITS VALHALLA AND GARRINGTON LIGHT OIL CORE AREAS, ANNOUNCES $170 MILLION FINANCING, DIVIDEND INCREASE AND PROVIDES INCREASED 2013 GUIDANCE
CALGARY, ALBERTA – Whitecap Resources Inc. (“Whitecap” or the “Company”) (TSX: WCP) is pleased to announce that it has entered into an agreement to purchase certain strategic light oil assets located predominantly in its core Valhalla and Garrington operated areas of Alberta for total consideration of $173.6 million (the “Acquisition”). The Acquisition adds 2,900 boe/d (56 percent oil and NGLs) of high netback, low base decline production (16 percent current decline rate) in areas where Whitecap already operates 96 percent of the production.
The Acquisition will be funded through a concurrent $170 million bought deal financing (the “Financing”) and Whitecap’s existing credit facilities.
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