RICHMOND, Va. – Dominion (NYSE: D) today announced
it has closed the sale of its Canadian natural gas and oil exploration and
production operations. This is one of several closings of previously announced
asset sales.
The Canadian
operations were sold to Paramount Energy Trust and Baytex Energy Trust, both
of Calgary, Canada, for a total of approximately U.S. $624 million based on
currency exchange rates as of the close of business June 25, 2007. The
operations include approximately 267 billion cubic feet equivalent (Bcfe) of
proved natural gas and oil reserves in western Canada as of Dec. 31, 2006,
with 2006 average daily production of approximately 60 million cubic feet equivalent
(MMcfe).
Scotia Waterous and Juniper Advisory LP were Dominion’s financial
advisers and Stikeman Elliott LLP is the company’s legal adviser for
the sale.
Dominion is in the process of selling all of its E&P
operations except those in the Appalachian Basin as part of its previously
announced plan to refocus the company on the power generation and energy
distribution, transmission, storage and retail businesses.
Dominion is one of the nation's largest producers
of energy, with a portfolio of more than 26,500 megawatts of generation and
7,800 miles of natural gas transmission pipeline. Dominion also owns and operates
the nation's largest underground natural gas storage system with about 960
billion cubic feet of storage capacity and serves retail energy customers in
11 states. For more information about Dominion, visit the company's Web site
at http://www.dom.com.
