Athabasca Oil Corp Sees Drop in Shares

The Globe and Mail reported today that Athabasca Oil Corp. (TSX:ATH) saw its shares fall on Monday due to uncertainty regarding the timing of a joint venture deal to help develop its Alberta shale resources.

As quoted in the publication:

Athabasca, which recently concluded a long-awaited sale of its stake in the Dover oil sands project, aims to bring in a partner into its Duvernay holdings once drilling firms up its resource estimates. The sale of the Dover interest to PetroChina Co. Ltd. netted Athabasca $1.23-billion, giving the company some financial breathing room.

According to the Globe, GMP Securities analyst Jason Konzuk stated:

While the recently released drilling results in the Duvernay are very encouraging, there was a subtle shift in the company’s messaging regarding its plans to maximize the value of the Duvernay. The company still states that a joint venture partner could be part of the final development plan for the asset; however, uncertainty has increased with respect to the timeline for securing a partner and the scale of a potential JV.

Click here to read the full Globe and Mail article.