Gulf Canada reports profit

Gulf Canada reports profit

CALGARY, Alberta (Reuters): Gulf Canada Resources Ltd., the
country's sixth-largest oil and gas producer, said on Tuesday it
climbed into the black in the fourth quarter thanks to high
commodity prices and more production after its takeover of rival
Crestar Energy.

Gulf, known for Canadian, Dutch North Sea and Indonesian
operations, also said full-year cash flow climbed above C$1
billion ($650 million) for the first time as it shifted from an
emphasis on debt-cutting to growing its business.

Fourth-quarter earnings were C$57 million, or 10 Canadian
cents a share, up from a year-earlier loss of C$24 million, or 9
Canadian cents a share.

Earnings from Gulf Canada, the subject of recent takeover
speculation, lagged a consensus estimate of 21 Canadian cents a
share among analysts polled by Reuters.

Cash flow, a key indicator of an oil company's ability to fund
its operations, surged 191 percent to C$408 million, or 85
Canadian cents a share, from C$140 million, or 37 Canadian cents
a share, in 1999. Revenues more than doubled to C$635 million, up
from C$300 million.