Cross Timbers stock reaches record high

Steve Sutherlin

Shares of Cross Timbers Oil Co. closed at a new high of $29.85 March 7 as independent analysts confirmed proved Dec. 31 oil and gas reserves at a record 2.25 trillion cubic feet of gas equivalent, up 11 percent from December 1999. Its shares have gained 289.2 percent over the past 12 months.

The year-end reserve numbers do not include the effect of add-on acquisitions completed in 2001, primarily in East Texas.

“The strength of our technical team and legacy asset base is once again highlighted by our outstanding performance in both reserve replacement and all-in finding cost,” said Steffen Palko, vice chairman and president.

“At 2.5 TCF, and growing towards 3 TCF by year-end 2002, the company is rapidly increasing its powerhouse position in the domestic natural gas business,” said Bob Simpson, chairman and CEO.

Takeover speculation might account for some of the increase. Shell Oil Co.’s surprise offer of $55 a share for Barrett Resources March 7 sent perceived natural gas takeover prospects higher. Anadarko Petroleum rose to $70.65 per share, approaching its 52-week high of $75.95. Cross Timbers stock was up $3.10 over the March 6 opening price.

Cross Timbers is 100 percent working interest owner and operator of two state oil and gas leases and the “A” and “C” platforms at Middle Ground Shoal field in Cook Inlet.