Whitecap Resources Inc. and Compass Petroleum Ltd. Announce Strategic Arrangement and Whitecap Announces Increased 2012 Guidance
Whitecap Resources Inc. ("Whitecap" or the "Company") (TSX:WCP.TO - News) and Compass Petroleum Ltd. ("Compass") (TSX VENTURE:CPO) are pleased to announce that they have entered into an arrangement agreement (the "Arrangement Agreement") providing for the acquisition by Whitecap of all the issued and outstanding common shares of Compass (the "Transaction"). Compass is a light oil-weighted public energy company with its primary operations located in the Dodsland/Kindersley area of West Central Saskatchewan and the majority of its production and reserves focused in the Viking formation. Under the terms of the Transaction, Compass shareholders will receive, at their election, for each Compass share held, either: (i) 0.205 of a Whitecap common share; or (ii) $1.60 in cash, subject to an aggregate cash maximum of $20 million and a maximum distribution of approximately 10.9 million Whitecap common shares.
- Published: 15 December 2011
- Written by Editor