Geocan Energy Inc., Calgary, (Toronto: GCA) plans to acquire an undisclosed private company for approximately C$18 million, including the assumption of approximately C$1.7 million of bank debt and working capital. The acquisition includes working interests ranging from 18% to 100% in 46 wells, operated batteries, pipelines and compression facilities. The private company has a 65% working interest in 35,364 gross acres (21,871 net) with production of approximately 400 barrels of oil equivalent per day and an approximately 90% operatorship of its wells. Its operations are focused in the central Alberta regions of Westlock, Jeffrey, Redwater, Wainwright and Edgerton. Following the acquisition, Geocan will have total production of 3,700 barrels of oil equivalent per day (approximately 750 barrels behind pipe), approximately 148,000 net acres of undeveloped land in six core areas and C$31.8 million of net debt from bank lines of C$42.5 million. Jennings Capital Inc. was advisor to Geocan.

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