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                                                                    EXHIBIT 99.1


                   [WESTPORT RESOURCES CORPORATION LETTERHEAD]

               WESTPORT CLOSES MERGER WITH BELCO FOR $866 MILLION


Denver, Colorado - August 21, 2001 - Westport Resources Corporation ("Westport")
(NYSE: WRC) announced today the closing of its merger with Belco Oil & Gas Corp.
("Belco") (NYSE: BOG) in a transaction valued at approximately $866 million,
including the assumption of $523 million of long term debt, convertible
preferred stock, and a hedge portfolio. As was previously agreed upon, the Belco
common shareholders will receive a fixed exchange ratio of 0.4125 of a share of
new Westport common stock for each share of Belco common stock they own and each
Westport shareholder will receive one share of new Westport common stock for
each share of Westport common stock they own. Each share of Belco's convertible
preferred stock will be convertible into .465795 of a share of new Westport
common stock. The transaction was completed following approval by the boards of
directors and shareholders of both companies.

As a result of the merger, Westport has estimated proved reserves of
approximately 1.1 Tcfe as of June 30, 2001, of which 54% is gas. On a combined
basis, the transaction is projected to increase Westport's production by
approximately 91% and EBITDAX by approximately 42% over second quarter 2001
results. As Belco's oil and gas hedges expire, Westport expects EBITDAX to show
marked improvement. Westport's estimated acquisition cost for these reserves is
approximately $1.18 per Mcfe, net of price allocations to Belco's other assets
and goodwill.

Donald D. Wolf will continue as Chairman and Chief Executive Officer of
Westport. Belco's current Chairman and Chief Executive, Robert A. Belfer, and
Vice Chairman, Laurence D. Belfer, will join Westport's Board of Directors.
Grant W. Henderson, President and Chief Operating Officer of Belco, will remain
with the combined company as Executive Vice President and General Manager of the
Southern Business Unit based in Dallas.

"A balanced approach of acquisition, exploitation, and exploration are the
fundamental drivers of this company," explained Donald Wolf. "The combination of
Westport and Belco allows us to use our balance sheet more effectively, creates
a top-20 independent, and adds considerable depth to the probable and possible
drilling opportunities and exploration prospects within the company's
portfolio." Robert Belfer commented, "This combination creates a company with a
very high caliber management group which will be focused on executing an
aggressive, growth-oriented business plan."




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Westport is an independent energy company engaged in oil and natural gas
exploitation, acquisition and exploration activities primarily in the Gulf of
Mexico, the Rocky Mountains, Permian Basin/Mid-Continent and the Gulf Coast.

Contact information: Lon McCain at (303) 573-5404.

FORWARD-LOOKING STATEMENTS

The statements in this press release regarding estimated reserves, estimated
acquisition costs, projected capital expenditures and financial results,
expected drilling and development activity and anticipated merger benefits and
impacts, and any other forecasts, projections or guidance that are not
statements of historical fact, are forward-looking statements within the meaning
of the federal securities laws. Such statements are inherently uncertain, and
actual results may differ materially from those estimated or projected. Factors
that can affect Westport's ability to achieve projected results are described in
Westport's 10-K report for 2001 filed with the SEC, Westport's 10-Q reports for
the first and second quarters of 2001 filed with the SEC and the registration
statement and joint proxy statement filed with the SEC on July 31, 2001 by
Westport and Belco Oil & Gas Corp. These factors include, among others, the
uncertainties inherent in reserve estimations, operational risks inherent in
drilling operations, especially in the offshore environment, with corresponding
exposure to delays and significant cost overruns, the highly competitive nature
of activity in the oil and gas industry with corresponding shortages of
equipment and personnel, the risk of exploratory drilling, the uncertain cost
and pricing environment in the oil and gas industry, Westport's inability to
control operations on properties it does not operate, availability of capital,
regulatory requirements, and uncertainties related to integrating Westport and
Belco. Westport has no obligation to update the statements contained in this
press release or to take action that is described herein or otherwise presently
planned.