WESTCOAST <WTC> TO ACQUIRE AGIP PROPERTIES
Westcoast
Transmission Co Ltd said it agreed to acquire the Western
Canada oil and gas reserves and properties of AGIP Canada Ltd,
a subsidiary of AGIP SpA, part of Italy's ENI group, for 54 mln
Canadian dlrs.
    At the end of 1986, AGIP Canada reported proven and
probable reserves of 4.2 mln barrels of crude oil and natural
gas liquids and 22.7 billion cubic feet of natural gas. AGIP
Canada also holds 176,000 net exploratory acres in Western
Canada. Its properties produce about 1,100 barrels of oil a
day.
    The deal is subject to approval by both companies'
directors.
    Westcoast said the acquisition would enable it to apply
more than 150 mln dlrs of accumulated tax pools of AGIP Canada
Ltd to enhance after-tax cash flow from the acquired
properties.
    AGIP Canada said it would retain offshore exploration
blocks in Labrador, a gold mine in Yukon Territory and uranium
interests in Saskatchewan.
 Reuter
