Crew Energy to sell Alberta assets for C$150 million

Thu Aug 28, 2014 9:54am EDT

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(Reuters) - Canadian oil and gas company Crew Energy Inc (CR.TO) said it would sell its liquids-rich assets in Princess, Alberta for C$150 million to focus on the development of its core Montney properties in British Columbia.

The assets to be sold currently produce 3,650 barrels of oil equivalent per day (boe/d), the company said, citing field estimates.

Crew Energy, which bought liquids-rich natural gas assets in Montney for about C$105 million ($96.74 million) this year, said it would raise its 2014 Montney capital program by C$20 million.

The company sold its natural gas assets in Alberta to Long Run Exploration Ltd (LRE.TO) for about C$225 million in April.

Crew Energy cut its 2014 average production forecast to 24,500-25,500 boe/d after the deal from 25,500-26,500 boe/d.

The Calgary-based company said it expects the deal to close by Sept. 30.

(This story corrects headline to show currency of reporting is Canadian dollar, not U.S. dollar)

($1 = C$1.0854)

(Reporting by Anannya Pramanick in Bangalore; Editing by Saumyadeb Chakrabarty)

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