Flames ink Colorado F O'Reilly to offer sheet

The Calgary Flames have signed restricted free agent center Ryan O'Reilly of the Colorado Avalanche to an offer sheet.

"The Calgary Flames have signed restricted free agent Ryan O'Reilly to an offer sheet. Under the rules pertaining to an offer sheet, we will allow the process to transpire. We will not provide any further comment until the process is complete," said Flames general manager Jay Feaster in a Thursday statement.

According to TSN of Canada, O'Reilly, who has been embroiled in a contentious contract dispute with the Avalanche, has agreed to a two-year deal with an average annual value of $5 million. The news service is reporting O'Reilly will earn $1 million in base salary for the rest of this season with a $2.5 million signing bonus. His 2013-14 salary will be $6.5 million.

Colorado has seven days to match the offer. If the Avalanche elect to not match the offer sheet, they will receiver Calgary's first- and third-round picks in the 2013 draft as compensation.

The 22-year-old O'Reilly was the third player taken in the second round of the 2009 draft. He made the team that fall and after back-to-back 26-point campaigns, he emerged last season as one of the better two-way players in the league, compiling career-highs with 18 goals and 37 assists.

In 236 career games with the Avalanche, O'Reilly has totaled 39 goals and 107 points.