CALGARY, June 15 /CNW/ - Desmarais Energy Corporation (TSXV: DES), has
signed a term sheet with its primary lender, reducing the revolving reducing
demand loan to $1,600,000 effective June 15, 2007, with further reductions to
$500,000 on June 30, 2007 and to $0 on September 30, 2007. The Company's
subordinated bridge loan facility of $2,000,000 will be reduced to $750,000 by
June 30, 2007 with the balance payable by July 31, 2007. Further, Desmarais
has arranged a promissory note of $2,000,000 from a related party. The Company
is in the process of arranging a new financing with closing expected by the
end of July 2007.
The previously announced strategic alternatives process is continuing
with the acceptance of offers on selected non-core properties, and with
closings scheduled over the next three to four weeks. Further details to
follow upon completion of these dispositions.
Desmarais will focus on operated properties in Alberta, and move forward
development plans on its undeveloped land base with seismic control.
Certain statements regarding Desmarais Energy Corporation including
management's assessment of future plans and operations, may constitute
forward-looking statements under applicable securities laws and necessarily
involve known and unknown risks and uncertainties. These risks may cause
actual financial and operating results, performance, levels of activity and
achievements to differ materially from those expressed in, or implied by, such
The TSX Venture Exchange has neither approved nor disapproved the
information contained herein.
For further information:
For further information: James G. Long, President, Desmarais Energy
Corporation, Tel: (403) 265-8007, Fax: (403) 264-7076