Forest Oil Corporation Oil and Gas Valuation Report

Forest Oil Corporation Oil and Gas Valuation Report is the essential source for those interested in the investment outlook for Forest Oil. The report provides exhaustive information on the areas of operations of the company as well as the market overview of the regions in which the company operates. The reports also provides detailed financial outlook of the company for the next five years along with the key financial and operational ratios. It also provides detailed asset by asset valuation of the company’s oil and gas exploration blocks and oil and gas fields.
[Fade out the market survey infos]

1 Table of Contents 2
1.1 List of Tables 5
1.2 List of Figures 6
2 Investment Summary 11
2.1 Strong Commodity Prices and Resource Potential Providing Attractive Valuation Upside 12
2.2 Haynesville Shale Acreage Presents Potential Upside 13
2.3 Large and Attractive Asset Base with Substantial Upside 16
2.4 Strategic Acquisitions Adds Value to the company 17
2.5 Utica Shale –Large Resource Potential and Acreage 22
3 Company Overview 24
3.1 Production and Reserves 25
3.2 Exploration and Appraisal 29
3.3 Acquisition and Disposal 35
3.4 Share Performance 37
3.5 Key Management 38
4 Operations Summary 40
4.1 The United States 40
4.1.1 Overview 40
4.1.2 Production and Reserves 40
4.1.3 Exploration and Development 43
4.1.4 Outlook 45
4.2 Canada 46
4.2.1 Overview 46
4.2.2 Production and Reserves 46
4.2.3 Exploration and Development 48
4.2.4 Outlook 49
4.3 International 50
4.3.1 Overview 50
4.3.2 Production and Reserves 50
4.3.3 Exploration and Development 51
5 Financial Outlook 52
5.1 Income Statement (2005-2012) 53
5.2 Balance Sheet (2005-2012) 54
5.3 Cash Flow Statement (2005-2012) 55
5.4 Key Ratios (2005-2012) 56
6 Valuation 57
6.1 Sum-of-Parts Analysis 57
6.2 Comparative Valuation 60
7 Peer Group Analysis 62
7.1 Share Price Performance 62
7.2 Operational and Financial Performance 63
8 E&P Operational Composite Summary 67
9 Key Risks 72
9.1 Crude oil and natural gas prices 72
9.2 Political Instability 72
9.3 Competition 72
9.4 Reserves and Drilling operations 72
10 Market Scenario 73
10.1 The United States 73
10.2 Reserves and Production 73
10.3 Imports and Exports 74
10.4 Infrastructure 74
10.5 Regulations 74
10.6 Key Fiscal Regime 75
10.7 Canada 75
10.7.1 Reserves and Production 75
10.7.2 Import and Exports 76
10.7.3 Infrastructure 76
10.7.4 Regulations 76
10.7.5 Key Fiscal Regime 76
10.8 Italy 78
10.8.1 Reserves and Production 78
10.8.2 Import and Exports 79
10.8.3 Infrastructure 79
10.8.4 Regulations 79
10.8.5 Key Fiscal Regime 79
11 Appendix 80
11.1 Methodology 80
11.1.1 Coverage 80
11.1.2 Secondary Research 81
11.1.3 Primary Research 81
11.1.4 Forecasts 82
11.2 Key Economic Assumptions 84
11.3 Expert Panel Validation 85
11.4 Definitions 85
11.5 Unit Of Measure 86
11.6 Disclosure information 86
11.7 Disclaimer 87
[Fade out table of contents]

Table 1: Exploration and Production Segment Valuation Table 10
Table 2: E&P Companies with exposure to the Haynesville Shale (Valuing at $12k/acre) 14
Table 3: Haynesville Shale, Recent Transaction Metrics 14
Table 4: E&P Companies with exposure to the Haynesville Shale ( Valuing at $12k/acre ) 15
Table 5: Forest Oil Corporation, Ultimate Reserves Upside, April 2008 16
Table 6: Forest Oil Corporation, Effect Of Acquisition On the Focus Areas 19
Table 7: Forest Oil Corporation, Deals Details, October 2003-August 2008 21
Table 8: Forest Oil Corporation, Utica Shale, Resource Potential 23
Table 9: Forest Oil Corporation, Key Corporate Events, 2016-2008 24
Table 10: Forest Oil Corporation, Production Parameters and Metrics, 2003-07 27
Table 11: Forest Oil Corporation, Reserves Parameters and Metrics, 2003-07 28
Table 12: Forest Oil Corporation, Well Data Parameters, By Region, 2004-07 30
Table 13: Forest Oil Corporation, Exploration and Development Cost, By Region, 2003-2007 31
Table 14: Forest Oil Corporation, Lifting Cost, Finding & Development Cost, Finding Cost, Acquisition Cost, Reserves Replacement Cost, Per Boe, $/Boe, 2003-2007 32
Table 15: Forest Oil Corporation, Acreage Data, 2003-07 33
Table 16: Forest Oil Corporation, Lifting Cost, Finding & Development Cost, Finding Cost, Acquisition Cost, Reserves Replacement Cost, Per Boe ($/Boe), 2003-2007 33
Table 17: Forest Oil Corporation, Deal Multiples 35
Table 18: Forest Oil Corporation, Key Employees, 2007 39
Table 19: Forest Oil Corporation, The US, Acreage, Well Data and Metrics, 2003-2007 44
Table 20: Forest Oil Corporation, Canada, Acreage, Well Data and Metrics, 2003-2007 48
Table 21: Forest Oil Corporation, Income Statement ($ Million), 2005-2012 53
Table 22: Forest Oil Corporation, Balance Sheet ($ Million), 2005-2012 54
Table 23: Forest Oil Corporation, Cash Flow Statement ($ Million), 2005-2012 55
Table 24: Forest Oil Corporation, Key Ratios, 2005-2012 56
Table 25: Forest Oil Corporation, Summary of Target Price ($/share), 2008 57
Table 26: Forest Oil Corporation, Sum-of Parts Valuation, 2008 58
Table 27: Forest Oil Corporation, Net Asset Value Sensitivity, 2008 59
Table 28: Forest Oil Corporation, Comparative Valuations, 2007 60
Table 29: Forest Oil Corporation Vs. Peer Group Operational and Financial Performance, 2007 63
Table 30: Canada, Provincial Corporate Income Tax , 2007 77
Table 31: Canada, Provincial Corporate Income Tax, 2007 77
Table 32: NYMEX Future Prices 84

Figure 1: Forest Oil Corporation, Share Price Performance, September 2003-September 2008 11
Figure 2: Forest Oil Corporation, Valuation By Assets, $/shares, 2008 12
Figure 3: Haynesville Shale Map, 2008 13
Figure 4: E&P Companies with exposure to the Haynesville Shale ( Valuing at $12k/acre ), 2008 15
Figure 5: Forest Oil Corporation, Current Spacing-Net Unrisked Resource Potential, 2008 17
Figure 6: Forest Oil Corporation, Proved Crude Oil and Natural Gas Acquisition, 2003-07 18
Figure 7: Forest Oil Corporation Vs Peer-Group, Proved Reserve Acquisition Costs, $ Million, 2003-07 20
Figure 8: Forest Oil Corporation Vs Peer-Group, Proved Reserve Additions, MMboe, 2003-07 20
Figure 9: Utica Shale Map 22
Figure 10: Forest Oil Corporation, Total Production and Proved Reserves, Bcfe, 2003-2007 25
Figure 11: Forest Oil Corporation, Crude Oil and Natural Gas Production Profile, 1999-2012 26
Figure 12: Forest Oil Corporation, Reserves Performance Metrics, 2007 27
Figure 13: Forest Oil Corporation, Distribution of Capital Expenditure by Category, 2003-07 34
Figure 14: Forest Oil Corporation, Acquisition Deals Metrics, 2003-07 36
Figure 15: Forest Oil Corporation, Share Performance, September 2003-September 2008 37
Figure 16: Forest Oil Corporation, The US, Oil and Gas Production, 1999-H1-2008 41
Figure 17: Forest Oil Corporation, Oil and Gas Reserves, In US, 1999-2007 42
Figure 18: Forest Oil Corporation, The US, Proved Reserves By Business Unit, 2007 42
Figure 19: Forest Oil Corporation, The US, Reserves and Production Data, By Business Unit, 2007 43
Figure 20: Forest Oil Corporation, The US, Exploration and Development Costs and Metrics, 1999-2007 45
Figure 21: Forest Oil Corporation, Canada Operations Map, 2008 46
Figure 22: Forest Oil Corporation, Canadian, Oil and Gas Production, 1999-H1, 2008 47
Figure 23: Forest Oil Corporation, Canadian, Oil and Gas Reserves, 1999-2007 47
Figure 24: Forest Oil Corporation, Canada, Exploration and Development Costs and Metrics, 1999-2007 49
Figure 25: Forest Oil Corporation, International Operations Map, 2008 50
Figure 26: Forest Oil Corporation, Valuation per share, By Assets, 2008 59
Figure 27: Forest Oil Corporation Vs Peer Group, Key Valuation Multiples, 2008 61
Figure 28: Forest Oil Corporation Vs. Peer Group Share Price Performance, September 2007-September 2008 62
Figure 29: Forest Oil Corporation Vs Peer Group, F&D costs-5 Year Average and Reserve Replacement Ratio-Annual 64
Figure 30: Forest Oil Corporation Vs. Peer Group , Results of Oil and Gas Operations per Boe, 5yr Average 64
Figure 31: Forest Oil Corporation Vs. Peer Group, Cost per Boe, 5yr Average 65
Figure 32: Forest Oil Corporation Vs. Peer Group, Production, MMboe, 2007 66
Figure 33: Forest Oil Corporation Vs. Peer Group, Reserves, MMboe, 2007 66
Figure 34: E&P Companies, Debt to Proved Reserves, Q208 to YE07 PR, $/boe, 67
Figure 35: E&P Companies, Production, MMboe, 2007 67
Figure 36: E&P Companies, Net-back per boe, 5-Year 68
Figure 37: E&P Companies, Recycle Ratio (Net-back / RRC), Annual 68
Figure 38: E&P Companies, Oil & Gas Finding and Development Cost per boe, 5-Year 69
Figure 39: E&P Companies, Lifting Cost per boe, 5-Year 70
Figure 40: E&P Companies, Oil & Gas Finding Cost per boe, 5-Year 70
Figure 41: E&P Companies, Reserves Life, 2007 71
Figure 42: The United States, Crude Oil and Natural Gas, Production and Consumption, 1996-2020 73
Figure 43: Canada, Crude Oil and Natural Gas, Production and Consumption, 1996-2020 75
Figure 44: Italy, Crude Oil and Natural Gas, Production and Consumption, 1996-2020 78
Figure 45: GlobalData Methodology 80
[Fade out list of tables / figures]