2009-04-30-2009-03-10-2009-04-30

Transaction Type
Sellers
Buyers
Announce Date
Post Date
Close Date
Estimated Price
92MM
Description

Bought company, gaining 2,100 BOE/d in SK.

Penn West Energy Trust, Calgary, (NYSE: PWE; Toronto: PWT.UN) has closed its acquisition of Reece Energy Exploration Corp., Medicine Hat, Alberta, (Toronto Venture: RXR) for C$92.2 million including some C$40 million of assumed debt. Penn West issued 0.125 unit for each Reece share valued at approximately C$1.39 per share and represents a 50% premium to Reece's 20-day average price ending March 9. Approximately 4.6 million Penn West trust units are expected to be issued. The deal is valued at approximately $43,900 per flowing barrel of oil equivalent, according to the companies. Reece's primary property is in Kindersley, Saskatchewan, and complements existing Penn West operations. Production is approximately 2,100 barrels of oil equivalent per day (67% oil and gas liquids). The deal includes some 75,000 net undeveloped acres. Sayer Energy Advisors was advisor to Reece.