Barrett board to consider Shell�s takeover offer

By the OGJ Online Staff

HOUSTON, Mar. 13�Barrett Resources Corp., Denver, said late Monday that it would consider Shell Oil Co.�s offer to purchase all of the outstanding Barrett stock for $55/share in cash.

Shell said Monday that it would proceed with its planned $2.2 billion takeover despite opposition from the Barrett management. (OGJ Online, Mar. 12, 2001). Barrett noted that on Mar. 8 its board rejected Shell�s unsolicited proposal to buy stock at $55/share.

�The board also announced that it will take all necessary steps to maximize shareholder value and that it had directed management to promptly pursue strategic alternatives, including seeking proposals from a number of qualified parties. That process has already commenced."

But Barrett said, "In light of Shell's formal commencement of a tender offer at $55/share, the board of directors will meet to formally consider the Shell offer and make a recommendation to shareholders with respect to the offer within 10 business days. Until such time, the company urges shareholders to take no action with respect to their holdings of Barrett."

Barrett is an independent producer involved in gas gathering, marketing, and trading activities. Barrett's properties are primarily in Colorado, Wyoming, Utah, Kansas, Oklahoma, and offshore Texas and Louisiana in the Gulf of Mexico.