Each one in plain English, with the numbers worked through for a shareholder.
17 Feb 2009production update▼ BadMajor
Provident cut its monthly distribution from $0.09 to $0.06 per unit (annualized $0.72, about 13% yield at the $5.48 close on February 11, 2009) and lowered its 2009 capital budget from $165 million to about $115 million, citing sustained low commodity prices and volatile markets. It reports about $505 million drawn on its $1.125 billion credit facility, expects 2009 Upstream production of 23,500 to 25,000 boe/d, and says Midstream results are expected to decline versus 2008. It also reports positive early Pekisko oil results in Northwest Alberta.
26 Aug 2008asset acquisition disposition▲ GoodMajor
Provident closed the sale of BreitBurn Energy Company for US$305 million (US$295 million cash and a US$10 million note), completing the sale of its entire US oil and gas division announced in February 2008. Total before-tax consideration for the division was US$650 million, with combined after-tax proceeds estimated at $440 million, to be used to pay down debt. This resolves the US business sale thread.
30 July 2008asset acquisition disposition▲ GoodMajor
Provident agreed to sell its remaining US oil and gas holding, its equity in BreitBurn Energy Company, for US$305 million (US$295 million cash plus a US$10 million note) to Metalmark Capital Partners, Greenhill Capital Partners and BreitBurn management, with closing expected before the end of August 2008. Together with the June sale, total before-tax consideration for the US business is US$650 million, which the company says is about a 550% return on its net cash investment. Provident says the tax basis is about $100 million and proceeds above that are expected to be taxable this year. This continues the June sale and the strategic review.
17 June 2008asset acquisition disposition▲ GoodMajor
Provident sold its 22% interest in BreitBurn Energy Partners L.P. and its 96% interest in BreitBurn GP LLC to BreitBurn Energy Partners for US$345 million cash before closing adjustments and taxes, with proceeds first going to its Canadian senior credit facility. The company calls this the first step in the strategic review announced February 5, 2008, and says it is still trying to sell its remaining US oil and gas assets (96% of BreitBurn Energy Company L.P.).
A routine notice from Provident's transfer agent says the annual general and special meeting of unitholders will be held May 8, 2008 in Calgary, with the record date for notice and voting set at March 28, 2008. It carries no business news.
Provident is updating its takeover bid for Triwest Energy through its subsidiary Provident Energy Resources Inc., adding its third-quarter results (released November 8, 2007) to the bid documents. The offer is 0.6539 Provident trust units plus $0.1569 cash per Triwest share and stays open until 7:00 p.m. Calgary time on December 3, 2007 unless withdrawn or extended; no other terms changed. This is a new acquisition effort following the Capitol deal.
Underwriters exercised their over-allotment option, so Provident issued another 3,823,530 subscription receipts at $12.75 for gross proceeds of about $48.75 million. These add to the 25,490,197 receipts sold May 24 and will help fund the Capitol share purchase; the receipts convert to trust units only if Provident takes up at least 66 2/3% of Capitol by August 31, 2007.
Provident closed the roughly $325 million bought deal announced with the Capitol offer, selling 25,490,197 subscription receipts at $12.75 (net about $308 million). Each receipt becomes one trust unit if Provident takes up at least 66 2/3% of Capitol's shares by August 31, 2007; the rest of the roughly $467 million cash price comes from credit facilities. The Capitol offer expires June 19, 2007 unless extended.
Provident agreed to make a cash offer for all shares of Capitol Energy Resources at $8.16 per share (about $467 million), and to take on about $41 million of Capitol's net debt, for a total of $508 million. Capitol's board supports the offer, and the deal depends on two-thirds of Capitol shareholders tendering plus regulatory approvals. Provident says the main asset is the Dixonville oil pool in Alberta, which it expects to become its largest upstream operating area; the deal is to be funded by about $325 million of subscription receipts and existing credit facilities. This is a second major Canadian acquisition after Rainbow in 2006.
Provident completed the purchase of the Rainbow gas assets in northwestern Alberta for a net price of about C$476 million, adding roughly 5,500 barrels of oil equivalent a day and over 200 identified drilling locations. This completes the deal announced July 11. Subscription receipt holders get one trust unit each plus C$0.12 per receipt, and the rest of the price was paid from credit facilities.
Provident closed the bought deal announced on July 11, raising gross proceeds of about C$226.1 million (about C$214.8 million net) from 16,325,000 subscription receipts at C$13.85. The money will partly fund the roughly C$475.9 million Alberta acquisition, with the rest coming from credit facilities. Closing of the acquisition is now expected by mid-August 2006.
Provident agreed to buy natural gas assets in the Rainbow and Peace River Arch areas of northwestern Alberta for about $475.9 million, adding about 5,500 barrels of oil equivalent a day (over 90% gas). Provident says it will fund it with roughly equal parts equity and bank debt, raising its senior Canadian credit facility from $800 million to $925 million and arranging a $300 million bridge facility; closing is expected by the end of August 2006. The company states it expects the deal to add about six percent to 2007 cash flow per unit (its own projection).
12 July 2006capital raising announcement● NeutralMajor
Provident Energy Trust agreed with underwriters to sell 16,325,000 subscription receipts at C$13.85 each (about C$226.1 million) to help pay for the Alberta gas asset purchase announced the same day. Each receipt converts to one trust unit when the acquisition closes; if it does not close by September 30, 2006, the money is returned to buyers. The underwriters also have an option for up to 2,448,700 more receipts.
