Canadian oil and gas merger and acquisition (M&A) activity in 1998 reached a record high value of $24.9 billion (Canadian).
This was 51% greater than the previous record of $16.5 billion, set in 1997 (see chart, below).
Despite this flurry of new M&A activity, reserve acquisition prices fell 6% to a median of $6.18/boe in 1998 from the 1997 price of $6.58/boe. Conversely, in 1997, reserve acquisition prices jumped 6% from the $6.22/boe price realized in 1996 (OGJ, Mar. 9, 1998, p. 41).
Meanwhile, the value of Canadian oil industry financings slid in 1998, dropping $1.9 billion, or 24%, from 1997 (see chart, p. 26). The high point in the petroleum industry for ...