Anderson Exploration quadruples fourth quarter earnings

Anderson Exploration Ltd., Calgary, says it quadrupled net earnings in the fourth quarter 2000 to $174 million (Can.) from the same period a year earlier. Anderson, now Canada�s fifth largest exploration and production firm after several recent acquisitions, forecast strong performance in 2001 based on continuing high natural gas prices and strong demand.


By an OGJ Online Correspondent


CALGARY, Feb. 14
�Anderson Exploration Ltd., Calgary, said it quadrupled net earnings in the fourth quarter of 2000 to $174 million (Can.) from the same period a year earlier.

Anderson, now Canada�s fifth largest exploration and production firm after several recent acquisitions, forecast strong performance in 2001 based on continuing high natural gas prices and strong demand.

Anderson recently completed an $825 million takeover of Numac Energy Inc. that increased its gas production 28% and its crude production 42% (OGJ Online, Jan. 19, 2001). It also acquired Ulster Petroleums Ltd. in a $512 million takeover last spring.

Chairman J.C. Anderson said company cash flow could exceed $1 billion in 2001 for the first time. He said cash flow was $400 million in the first quarter 2001 and the second quarter is expected to be as good or better.

Anderson's production of gas increased 19% to 680 MMcfd and oil and gas liquids 40% to 49,550 b/d.

The company has extensive operations in western Canada, weighted towards gas. It has acquired a large land portfolio in the Mackenzie Delta and Beaufort Sea regions of Canada�s Arctic, where exploration is increasing and a gas pipeline is being considered.

Analysts see Anderson as a potential target for a takeover by a company seeking gas reserves.

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