CALGARY,
AB, Feb. 23, 2023 /CNW/ - Highwood Asset
Management Ltd., ("Highwood" or the "Company") (TSXV:
HAM) is pleased to announce that Joel
MacLeod has been named Executive Chairman by the Highwood
Board of Directors. Mr. MacLeod is the
largest shareholder of Highwood, controlling approximately 67%
of currently outstanding shares of the Company. Mr. MacLeod's
appointment is intended to support Highwood's growth strategy,
focused on taking advantage of the distressed valuations of
conventional energy assets in Western
Canada.
Mr. MacLeod brings a successful track record of generating
outsized shareholder returns, including returns in excess of 800%
in entities where his shareholding position exceeded 35% (1080766
Alberta Ltd., Predator Oil Ltd., Predator Midstream Ltd and Battle
River Energy).
"I am excited to join the Highwood Team, with a platform to take
advantage of a generational opportunity where we can acquire high
quality energy assets, with sub 12 month payout capital projects,
at ~2 - 3x operating cashflow. We plan to be extremely active over
the coming quarters and beyond, with a view to aggressively grow
Highwood's asset base, focusing on conventional energy production
in the near term. Our investment and capital allocation
strategy will focus on investments with the highest cash on
cash returns while maintaining significant insider ownership and
participation to ensure alignment with capital providers," stated
Mr. MacLeod. "Our near term focus will be:
- Multiple conventional energy production acquisitions while
incorporating our industry leading midstream, downstream, energy
transition expertise in reducing carbon intensity and most
importantly, increasing realized pricing of all products
- Continue to progress the development of our Drumheller southern Alberta lithium asset which has an initial
Inferred Resource of 18.14 million tonnes of lithium carbonate
equivalent(1)
We look forward to leveraging 15+ years of capital markets
support, credit support, government support, and potential First
Nations partnerships across multiple opportunities. Shareholder
alignment and material insider ownership remains critical to our
strategy and we thank our shareholders and stakeholders for all
their support."
Neither 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 release.
Cautionary Note Regarding
Forward-Looking Information
This news release contains "forward-looking information" or
"FLI" within the meaning of the Canadian securities laws.
Forward-looking information is generally identifiable by use of the
words "believes," "may," "plans," "will," "anticipates," "intends,"
"budgets", "could", "estimates", "expects", "forecasts", "projects"
and similar expressions, and the negative of such expressions.
Forward-looking information in this news release include statements
about the Company's next steps which include potential
acquisitions, advancing the lithium assets, continued exploration
and development work, including in respect of the potential
extraction technology, continued sampling and developing a
reservoir model, and the evaluation and potential spinout of a pure
play lithium company, as well as the specific assumptions used to
develop such FLI and the specific risk factors.
In connection with the forward-looking information contained
in this news release, Highwood has made numerous assumptions,
regarding, among other things: the geological, metallurgical,
engineering, financial and economic advice that Highwood has
received is reliable and is based upon practices and methodologies
which are consistent with industry standards. While Highwood
considers these assumptions to be reasonable, these assumptions are
inherently subject to significant uncertainties and
contingencies.
Additionally, there are known and unknown risk factors which
could cause Highwood's actual results, performance, or
achievements to be materially different from any future results,
performance or achievements expressed or implied by the
forward-looking information contained herein. Known risk factors
include, among others: the lithium-brine resource assessment may
not be completed as planned or at all, the exploration and
continued sampling may exceed the budget; continued sampling and
the reservoir model may not achieve the results expected; investor
support for a pure play lithium public spinout; the need to obtain
additional financing; uncertainty as to the availability and terms
of future financing; the possibility of delay in exploration or
development programs and uncertainty of meeting anticipated program
milestones; uncertainty as to timely availability of permits and
other governmental approvals.
A more complete discussion of the risks and uncertainties
facing Highwood is disclosed in Highwood's continuous disclosure
filings with Canadian securities regulatory authorities at
www.sedar.com. All forward-looking information herein is qualified
in its entirety by this cautionary statement, and Highwood
disclaims any obligation to revise or update any such
forward-looking information or to publicly announce the result of
any revisions to any of the forward-looking information contained
herein to reflect future results, events, or developments, except
as required by law.
Note (1) NI 43-101 Technical
Report
Highwood commissioned APEX Geoscience Ltd. to prepare a
National Instrument 43-101 Report effectively dated February 21, 2022 (the "Technical Report") to
detail the inferred resource assessment for the Company's
Drumheller Property. The Drumheller Property comprises
approximately 23.5% of Highwood's total Alberta and British
Columbia land position. The Technical Report for the
Project is available on SEDAR (www.sedar.com) and on the Company's
website. Readers are directed to the press release dated
February 28, 2022 at
www.sedar.com for further disclosure related to the
Technical Report and inferred resource disclosure disclosed
herein.
SOURCE Highwood Oil Company Ltd.