The Calgary-based energy firm Athabasca Oil Sands Corporation is readying a $1.35-billion initial public offering (75-million shares) by the end of next week on the TSX. The shares will debut at $18 per share.

The underwriters are GMP Securities and Morgan Stanley. Due to increasing demand in this hot IPO, including major interest from international investors, particularly Asian-based institutional and private investors, the IPO could raise $1.5-billion in capital for the firm as the underwriters exercise valuable options to buy more discounted shares.

The capital proceeds generated from the IPO will be used to further develop the company’s oil properties based in northern Alberta.

The recent increase in interest comes as investors hope the industry will pick up as the global economy recovers from the financial crisis, in turn also leading to upward pressure on crude prices.

As of Q3 2009, the company owned net working interest in over 1.7-million acres in northern Alberta. The company estimates production potential to be greater than 500,000 barrels of oil per day at peak development.

The company lastly reported a net profit in Q3 2009 of $26,063 (in thousands).