The Canadian government will sell its remaining 19% stake in Petro-Canada (Toronto: PCA; NYSE: PCZ) in the 2004-05 fiscal year. At a recent market price of about C$57 per share, the government's 49.39 million shares are worth about C$2.82 billion. The government's last sale of Petro-Canada shares was through a secondary offering to investors in 1995, which garnered C$1.8 billion, according to Reuters. Canada set up Petro-Canada as a state oil company three decades ago. Privatization began in the early 1990s, Reuters noted. Provident Energy Trust, Calgary, (Amex: PVX; Toronto: PVE.UN) plans to acquire Olympia Energy Inc. (Toronto: OLY) and Viracocha Energy Inc. (Toronto: VCA) for C$217.6 million and C$205.9 million, respectively, in trust units including the assumption of debt and working capital. Both deals are to close in June. National Bank Financial and TD Securities were financial advisors to Provident. GMP Securities advised Olympia. GMP and Orion Securities were advisors to Viracocha. Provident estimates its daily production will grow to more than 34,000 BOE per day (45% gas, 33% light/medium oil and NGLs, and 22% heavy oil). Its proved reserves will increase from 41.8 million BOE to 62.1 million and have a total proved reserve life index of 5.0 years. Proved plus probable reserves will increase from 54.9 million BOE to 81.6 million and have a life index of 6.2 years.
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