BANK ASKS CANSO FOR PAYMENTS

BANK ASKS CANSO FOR PAYMENTS

United Canso Oil and Gas Ltd. said its principal banker has demanded that all overdue payments due to the bank be remedied by 3 p.m. March 30, 1988.

The bank said that United Canso has failed to meet certain debt payment obligations, and that the bank will grant no extensions or waivers.United Canso's debt to the bank is approximately $164 million. Management does not believe the company is able to remedy its defaults with the bank, but notes that United Canso has sufficient cash flow and operating credit to meet its normal operating obligations during the interim period. The board of United Canso will meet today to review the situation.