Athabasca shares fall 8 pct as it awaits PetroChina payment

Mon Jul 28, 2014 12:25pm EDT
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CALGARY, Alberta, July 28 (Reuters) - Shares in Athabasca Oil Corp fell more than 8 percent on Monday after the company said it was still trying to collect C$1.23 billion ($1.14 billion) owed to it by a unit of PetroChina.

Shares in the Calgary-based company were down 7.6 percent at C$6.36 by midday on the Toronto Stock Exchange after earlier touching C$6.28.

Earlier this year Athabasca exercised a put option to sell its 40 percent stake in the planned Dover oil sands project to its partner, PetroChina's Phoenix Energy Holdings Ltd, after the project received regulatory approval. The money has not yet been paid, Athabasca said.

Athabasca said in a statement was still working with Phoenix Energy Holdings "to close the transaction in accordance with the terms of the Put/Call Option Agreement." It said it would update the market on material developments.

The Dover oil sands project, 95 kilometers (59 miles) northwest of Fort McMurray, Alberta, is expected to eventually produce as much as 250,000 barrels of bitumen per day. ($1 = 1.0799 Canadian Dollars) (Reporting by Scott Haggett; Editing by David Gregorio)