Bonavista to buy Petrobank's Alberta properties

Bonavista Petroleum Ltd. has agreed to buy Petrobank Energy and Resources Ltd.'s oil and gas properties in the Blood McGrath area of Alberta for $16.25 million (Can.). Petrobank said the sale would be effective Feb. 1 and would close in May.

March 22, 2001

By the OGJ Online Staff

LONDON, Mar. 22�Bonavista Petroleum Ltd. has agreed to buy Petrobank Energy and Resources Ltd.'s oil and gas properties in the Blood McGrath area of Alberta for $16.25 million (Can.).

Petrobank said the sale would be effective Feb. 1 and would close in May.

Petrobank said the Albertan properties to be sold "represent the majority of Petrobank�s current production" and would boost cash available to the company by $80 million.

Petrobank launched a normal course issuer bid on Dec. 12 allowing for the purchase and cancellation of up to 1,719,097 of its common shares. The company has purchased 855,400 shares to date at an average price of $1.49/share.