2009-09-24-2009-08-24

To buy SE and SW Sasketchewan assets, gaining 3,646 BOE/d, 10.2 MMBOE 2P.

Crescent Point Energy Corp., Calgary, (Toronto: CPG) plans to acquire the oil and gas assets in southeastern and southwestern Saskatchewan of Provident Energy Trust, Calgary, (Toronto: PVE-UN, NYSE: PVX) for C$225 million in cash. The deal values production at C$61,710 per flowing barrel equivalent and proved and probable reserves at C$22.06 per barrel equivalent. Second quarter production from southeastern Saskatchewan averaged 2,680 barrels of light crude oil per day and southwestern Saskatchewan production was 4.3 million cubic feet of gas and 242 barrels of oil for a combined averaged production of 3,646 barrels of oil equivalent per day. As of June 30, proved and probable reserves were approximately 10.2 million barrels of oil equivalent. This follows Provident's Aug. 13 announcement to dispose of certain non-strategic oil and gas assets in Saskatchewan. Provident will use the proceeds to fund high-impact growth initiatives in both the upstream and the midstream business units. Provident president and chief executive Tom Buchanan says. "The sale of our Southeast and Southwest Saskatchewan assets monetizes the value created in two of our legacy properties and provides the flexibility needed to refocus our capital and technical resources on high-impact growth initiatives in both businesses. The successful disposition of these assets demonstrates our commitment to repositioning Provident for long term, value driven growth." The deal was expected to close by the end of September.