* Says to assume $80 mln in debt
* Sees deal adding to Q4 production per share by 11 pct
* Sees 2011 avg production of 23,000-24,000 boe/d
* Shares up 6 pct (Adds acquisition details, share movement)
May 2 (Reuters) - Canada’s Crew Energy Inc is to buy private oil and gas company Caltex Energy Inc for $542 million in an all-stock deal to gain access to heavy oil assets in Saskatchewan and Alberta, and raised its full-year production guidance.
Shares of Crew Energy jumped as much as 6 percent before paring some gains to trade at C$17.12 on Monday morning on the Toronto Stock Exchange.
The oil and gas producer said it will issue about 33.24 million of its shares and assume about $80 million in net debt as part of the deal.
Caltex, which was founded in 2005, is expected to add about 23.7 million barrels of oil equivalent to Crew’s proved reserves.
Crew Energy, which has a market cap of about $1.49 billion according to Thomson Reuters data, said about 75 percent of Caltex’s shareholders have agreed to vote for the deal as have the boards of both companies.
Crew Energy now expects to produce an average of 23,000-24,000 barrels of oil equivalent per day (boe/d) in 2011, compared with its previous forecast of 18,300-19,300 boe/d. It expects to exit the year with a production rate of 32,500-34,500 boe/d.
Crew also raised its full-year capital expenditure 27 percent to $330 million.
The company said the Caltex deal is expected to increase its fourth-quarter production per share by 11 percent and cash flow per share by 14 percent.
The deal, expected to close by July, also provides for a $20 million non-completion fee. (Reporting by Abhiram Nandakumar in Bangalore; Editing by Sriraj Kalluvila)