DBRS rates Athabasca Oil B

DBRS said it assigned a provisional issuer rating of B with a stable trend to Athabasca Oil Corp.

With limited production history and aggressive development plans, DBRS said that its analysis will largely focus on the company's ability to maintain strong liquidity to fund planned capital expenditures over the next several years.

Once Athabasca successfully executes its production growth strategy and makes a transition from a largely pre-production state to a meaningful commercial state, then the rating will gradually become based on free cash flow generation capability and reserve statistics, the agency stated.

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