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Here is the information I promissed to post on Canadian portion of FEG:
- operation primarily represents oil and gas production, power generation is just starting
- operation generates approx. 25% of total operating cash flow of total FEG
- current production rate is: oil, 17,000 bbls/d, gas, 130 mmscfd (this represents roughly 11 mmilion BOE/year)
- operation has been performing in the top quartile of Canadian companies (competition here is significant, yet Canadian operations somehow routinly ends up at the top - I attribute this to local management)
- production has been growing at 37% per annum since 1991 - this probably is unsustainable from now on, but something like 20% is.
- since 1991, operation invested cdn$950MM and has recovered cdn$700MM and it is estimated that current market price of the operation is cdn$1 billion.

It is possible that FEG N.Z. can sell entire operation, but not likely. Word on the street is that, instead, additional investment in the range of cdn$500 - 900MM is contemplated (through aquisition of a competitor, I presume). This would be in addition to FY98 probable investment of cdn$140MM. So, here it is a Canadian story as I know it. I will post any new (and newsworthy)information as it becomes available.

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