Caltex will issue about 33.24 million of its shares and assume about $80m in net debt under the deal, which is expected to close by July.
The transaction has been backed by 75% of Caltex’s shareholders and boards of both companies and also provides for a $20m non-completion fee.
Caltex is expected to add about 23.7 million barrels of oil equivalent to Crew’s proved reserves.
Crew Energy now expects to produce an average of 23,000-24,000 barrels of oil equivalent per day (boe/d) in 2011.
Crew also raised its full-year capital expenditure by 27% to $330m.
