Seven Generations to buy some Deep Basin assets from Paramount

Wed Jul 6, 2016 4:12pm EDT
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July 6 (Reuters) - Canadian natural gas developer Seven Generations Energy Ltd said it would buy some of Paramount Resources Ltd's Deep Basin oil and gas properties in west Central Alberta for about C$1.9 billion ($1.47 billion), including debt.

Paramount Resources said it would receive C$475 million in cash and 33.5 million class A common shares of Seven Generations.

Seven Generations will also assume Paramount's senior unsecured notes worth about C$584 million due 2023.

The assets, which are located in the Musreau/Kakwa area, had estimated sales volumes of about 30,000 barrels of oil equivalent per day for the three month period ended June 30.

($1 = 1.2960 Canadian dollars) (Reporting by Anet Josline Pinto in Bengaluru; Editing by Anil D'Silva)