UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT PURSUANT
TO SECTION 13 OR 15(D) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of Report (date of earliest event reported): August 9, 2005
NEXEN INC.
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(Exact Name of Registrant as Specified in Its Charter)
CANADA
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(State or Other Jurisdiction of Incorporation)
1-6702 98-6000202
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(Commission File Number) (IRS Employer Identification No.)
801 - 7TH AVENUE S.W.
CALGARY, ALBERTA, CANADA T2P 3P7
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(Address of Principal Executive Offices) (Zip Code)
(403) 699-4000
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(Registrant's Telephone Number, Including Area Code)
NOT APPLICABLE
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(Former Name or Former Address, if Changed Since Last Report)
Check the appropriate box below if the Form 8-K filing is intended to
simultaneously satisfy the filing obligation of the registrant under any of the
following provisions (SEE General Instruction A.2. below):
[_] Written communications pursuant to Rule 425 under the Securities Act
(17 CFR 230.425)
[_] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17
CFR 240.14a-12)
[_] Pre-commencement communications pursuant to Rule 14d-2(b) under the
Exchange Act (17 CFR 240.14d-2(b))
[_] Pre-commencement communications pursuant to Rule 13e-4(c) under the
Exchange Act (17 CFR 240.13e-4(c))
Item 2.01. Completion of Acquisition or Disposition of Assets.
On August 9, 2005, Nexen Inc. (Nexen) completed the disposition of
conventional oil and gas properties in southeast Saskatchewan, northwest
Saskatchewan, northeast British Columbia and the Alberta foothills for
approximately Cdn$945 million before closing adjustments, as previously
announced on July 4, 2005.
The disposition was structured as four transactions involving the
sale of the shares of the Nexen affiliated partnerships that owned the
properties to arms length third parties as set forth below.
1. On July 11, 2005, Nexen sold 74,008 net acres of oil and gas properties
with production of approximately 6,239 BOE/d in the Findley area, Alberta to
Talisman Energy Inc. for cash proceeds of Cdn$150,000,000.
2. On August 2, 2005, Nexen sold 78,387 net acres of oil and gas properties
with production of approximately 5,342 BOE/d located in the Hay River area,
British Columbia to Harvest Energy Trust for cash proceeds of Cdn$260,000,000.
3. On August 4, 2005, Nexen sold 232,002 net acres of oil and gas properties
with production of approximately 4,778 BOE/d located in northwest Saskatchewan
to NuVista Energy Ltd. for cash proceeds of Cdn$205,000,000.
4. On August 9, 2005, Nexen sold 66,034 net acres of oil and gas properties
with production of approximately 6,239 BOE/d located in southeast Saskatchewan
to Starpoint Commercial Trust and Starpoint Energy Ltd. for cash proceeds of
Cdn$330,000,000.
There was no material relationship between Nexen and any purchaser
outlined above, nor any respective director or officer of or associates of any
purchaser. In all cases the purchase price and the nature of payment was
determined by arms length negotiations between Nexen and the respective
purchasers and were not determined in accordance with any set formula.
The proceeds from the dispositions were used to pay down debt
associated with the acquisition of assets located in the North Sea in December
2004.
On July 4, 2005, Nexen Inc. issued the press release attached as
Exhibit 99.1 hereto.
ITEM 9.01. FINANCIAL STATEMENTS AND EXHIBITS.
The following Exhibit is filed as part of this report:
99.1 Press Release of Nexen Inc, dated July 4, 2005
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report on Form 8-K to be signed on its
behalf by the undersigned, thereunto duly authorized.
Dated: August 15, 2005
NEXEN INC.
By: /s/ Rick C. Beingessner
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Name: Rick C. Beingessner
Title: Assistant Secretary
EXHIBIT INDEX
EXHIBIT
NUMBER DESCRIPTION
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99.1 Press Release of Nexen Inc, dated July 4, 2005