by Stockwatch Business Reporter
New York Merc crude for March delivery lost $1.91 to $95.40 (all figures in this para U.S.). Brent for March fell 92 cents to $117.66. West Texas Intermediate lost 70 cents to $96.51, while Western Canadian Select traded at a discount of $26.02 to WTI ($70.49), up from a discount of $26.17. The TSX energy index lost 1.09 points to close at 251.83.
Sterling Resources Ltd. (SLG), once again one of the heaviest traders on the TSX-V, lost one cent to 83 cents on 5.97 million shares. It is still considering an 85-cent-a-share takeover offer from the Vitol Group, a Dutch energy trader that owns about 14 per cent of Sterling's 221 million shares. Vitol became a significant investor in Sterling in August, 2011, when it acquired 17.8 million shares at $1.40 as part of a private placement. This boosted its holdings to 22.9 million shares. Over the next year and a half, Vitol increased its position to 31.6 million shares, buying in the market at prices ranging from 88.2 cents to $1.59. A few weeks ago, it lent Sterling $12-million (U.S.) to cover short-term expenses, and received as consideration 2.41 million shares at 71.7 cents. The takeover bid comes about a month after the loan.