CALGARY,
AB, Sept. 19, 2022 /CNW/ - Alvopetro Energy
Ltd. (TSXV: ALV) (OTCQX: ALVOF) ("Alvopetro") announces the
exercise of all outstanding warrants held by Cordiant Capital Inc.
("Cordiant") and that we have now repaid the remaining $2.5 million outstanding on the credit
facility.
A total of 2,685,956 warrants at a strike price of US$1.80 were granted to Cordiant in connection
with the 2019 $15 million debt
financing. Cordiant provided notice to exercise all warrants
outstanding and in connection with the exercise, Alvopetro agreed
to amend the terms of the warrant certificates so that a total of
1,342,978 of the warrants have been exercised by way of a cashless
exercise with 738,638 common shares issued as a result of the
cashless exercise. The remaining 1,342,978 warrants have been
exercised at the strike price of US$1.80 per share, for total cash proceeds to
Alvopetro of US$2.4 million. A total
of 2,081,616 common shares have been issued in connection with the
exercise. Alvopetro has also now repaid the final $2.5 million outstanding on our credit facility
effective September 15, 2022.
President and CEO, Corey Ruttan
commented:
"We would like to thank Cordiant for their support over the
last three years. Their support was instrumental in providing
us with the financial resources to bring our Caburé project
onstream. The project has been consistently delivering results
above pre-commercialization expectations allowing us to
aggressively repay outstanding debt. We are proud to have been able
to completely repay all project debt financing within the first 27
months of starting production. During this same time, we started
quarterly dividends to our shareholders and we are now also firmly
focused on our organic growth plans."
Corporate Presentation
Alvopetro's updated corporate presentation is available on our
website at:
http://www.alvopetro.com/corporate-presentation.
Social Media
Follow Alvopetro on our social media channels at the following
links:
Twitter - https://twitter.com/AlvopetroEnergy
Instagram - https://www.instagram.com/alvopetro/
LinkedIn -
https://www.linkedin.com/company/alvopetro-energy-ltd
YouTube:
https://www.youtube.com/channel/UCgDn_igrQgdlj-maR6fWB0w
Alvopetro Energy Ltd.'s vision is to
become a leading independent upstream and midstream operator in
Brazil. Our strategy is to unlock
the on-shore natural gas potential in the state of Bahia
in Brazil, building
off the development of our Caburé natural gas field and our
strategic midstream infrastructure.
Neither the TSX Venture Exchange nor its Regulation
Services Provider (as that term is defined in the policies of the
TSX Venture Exchange) accepts responsibility for the adequacy or
accuracy of this news release.
All amounts contained in this new release are in
United States dollars, unless
otherwise stated and all tabular amounts are in thousands of
United States dollars, except as
otherwise noted.
Forward-Looking Statements and Cautionary
Language. This news release contains "forward-looking
information" within the meaning of applicable securities laws. The
use of any of the words "will", "expect", "intend" and other
similar words or expressions are intended to identify
forward-looking information. Forward‐looking statements involve
significant risks and uncertainties, should not be read as
guarantees of future performance or results, and will not
necessarily be accurate indications of whether or not such results
will be achieved. A number of factors could cause actual results to
vary significantly from the expectations discussed in the
forward-looking statements. These forward-looking statements
reflect current assumptions and expectations regarding future
events. Accordingly, when relying on forward-looking statements to
make decisions, Alvopetro cautions readers not to place undue
reliance on these statements, as forward-looking statements involve
significant risks and uncertainties. More particularly and without
limitation, this news release contains forward-looking information
concerning Alvopetro's operational activities. The forward‐looking
statements are based on certain key expectations and assumptions
made by Alvopetro, including but not limited to expectations and
assumptions concerning, equipment availability, the timing of
regulatory licenses and approvals, the success of future drilling,
completion, testing, recompletion and development activities, the
outlook for commodity markets and ability to access capital
markets, the impact of the COVID-19 pandemic, the performance of
producing wells and reservoirs, well development and operating
performance, foreign exchange rates, general economic and business
conditions, weather and access to drilling locations, the
availability and cost of labour and services, environmental
regulation, including regulation relating to hydraulic fracturing
and stimulation, the ability to monetize hydrocarbons discovered,
expectations regarding Alvopetro's working interest and the outcome
of any redeterminations, the regulatory and legal environment and
other risks associated with oil and gas operations. The reader is
cautioned that assumptions used in the preparation of such
information, although considered reasonable at the time of
preparation, may prove to be incorrect. Actual results achieved
during the forecast period will vary from the information provided
herein as a result of numerous known and unknown risks and
uncertainties and other factors. Although Alvopetro believes
that the expectations and assumptions on which such forward-looking
information is based are reasonable, undue reliance should not be
placed on the forward-looking information because Alvopetro can
give no assurance that it will prove to be correct. Readers are
cautioned that the foregoing list of factors is not exhaustive.
Additional information on factors that could affect the operations
or financial results of Alvopetro are included in our annual
information form which may be accessed on Alvopetro's SEDAR profile
at www.sedar.com. The forward-looking information
contained in this news release is made as of the date hereof and
Alvopetro undertakes no obligation to update publicly or revise any
forward-looking information, whether as a result of new
information, future events or otherwise, unless so required by
applicable securities laws.
www.alvopetro.com
TSX-V: ALV, OTCQX: ALVOF
SOURCE Alvopetro Energy Ltd.