CALGARY, Feb. 19 /CNW/ - Crossfire Energy Services Inc. ("Crossfire" or
the "Company") announces that it has received notice from its principal lender
(the "Lender") that the Company is in default with respect to its financial
covenants in its credit facility. Further, the Lender has made demand for
immediate payment of the remaining balance under the credit facility. The
Lender has notified it will proceed with the enforcement of its security
should such payment not be made. In that regard, the Lender has advised that
it will make application to the Court of Queen's Bench of Alberta tomorrow for
the appointment of a receiver to manage the Company's affairs. The Company
will consent to this application. The Company will issue further announcements
regarding the status of its affairs with its principal lender and other
stakeholders in due course.
The Company also announces that the directors and officers have resigned
their respective positions with the Company.
The Company's business strategy involves merging complimentary service
offerings together. As a result, it enables the Company to operate as a
one-stop-shop for the fabrication, construction and maintenance relating to
oilfield facilities. The strategy is guided by a focus to be recognized as a
specialist in the fabrication of a wide scope of oilfield facility components,
manufacturing subcontractor for major energy facilities projects, as well as
the construction and maintenance of oilfield facilities and pipeline.
The TSX Venture Exchange does not accept responsibility for the adequacy
or accuracy of this release.
For further information:
For further information: Dean Bethune, Crossfire Energy Services Inc.,
Suite 550, 340 - 12th Avenue SW, Calgary, AB, T2R 1L5,
firstname.lastname@example.org, www.crossfireenergy.ca, (403) 237-5115; A. Scott
Hamilton, Crossfire Energy Services Inc., Suite 1700, 800 - 6th Avenue SW,
Calgary, AB, T2P 3G3, email@example.com