Go to the Globe and Mail homepage

Jump to main navigationJump to main content


Whitecap Resources to acquire Midway Energy Add to ...

Whitecap Resources Inc. has struck a $550-million cash, share and debt deal to acquire Midway Energy Ltd. The two junior companies are light oil producers with a focus on Alberta.

The companies said Tuesday that shareholders of Midway, which operates in the Garrington area of Alberta, will get $4.85 per share in cash or stock for each of their shares.

Whitecap will also assume $100.8-million of Midway debt in the deal.

The total value of the deal is $550.3-million, including the debt.

Whitecap said the acquisition will add 5,400 oil equivalent barrels of daily output, two-thirds of its oil and natural gas liquids.

As well, Whitecap will acquire Midway’s exploration interests in the Beaverhill Lake light oil play in the Swan Hills area of Alberta.

“Through the transaction, Whitecap is acquiring high quality, high netback light oil assets, located predominantly in the Garrington area of Alberta and focused on the Cardium formation,” the company said in a release.

“The acquired Cardium assets are complementary to Whitecap’s existing horizontal drilling operations in the Pembina Cardium play and have significant growth and upside potential.”

Report Typo/Error

Follow us on Twitter: @GlobeBusiness


More related to this story


Next story




Most popular videos »

More from The Globe and Mail

Most popular