Pacific Energy to buy Forest Oil's Alaska assets

By OGJ editors
HOUSTON, May 29 -- Pacific Energy Resources Ltd. has agreed to buy Forest Oil Corp.'s Alaska assets for $464 million in cash and stock.

The assets being acquired consist of 1 million net undeveloped acres, Forest's interest in the Cook Inlet Pipe Line Co., and Forest Oil's subsidiary Forest Alaska Operating LLC.

Forest's Alaskan assets at Jan. 1 had estimated proved reserves totaling 181 bcf of gas equivalent, and 2006 production from the assets averaged 38 MMcfd of gas equivalent.

The transaction, effective Jan. 1, is expected to close June 30.