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Article: Castle, MG agree to terms of divorce slated for next year. (Castle Energy Corp.; Metallgesellschaft A.G.)

Article from:
The Oil Daily
Article date:
October 18, 1994
Author:
Copyright

WASHINGTON -- Castle Energy Corp. and Metallgesellschaft A.G. (MG) have completed the financial and contractual steps that will divorce their operations early next year.

Castle debts were wiped off the books or assumed by MG, Castle shares were surrendered by MG, and Castle formally agreed that MG will not have to take any Castle refined products starting Feb. 1.

The settlement originally was announced Aug. 31 after MG had decided to sharply shrink and reform its U.S. oil operations in the wake of its cash crisis. That crisis was precipitated by hedging and derivative transactions by the German conglomerate's U.S. subsidiary.

There still is no word on ...

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