/THIS NEWS RELEASE IS NOT FOR DISSEMINATION IN THE UNITED STATES OR TO
PAN - TSXV
CALGARY, Sept. 9 /CNW/ - PanTerra Resource Corp. (the "Company")
announces that it has closed the acquisition of certain oil producing
properties in the Tomahawk and Carrot Creek areas in Central Alberta (the
"Assets") from two private companies. The purchase price for the Assets is
42,903,540 common shares of PanTerra Resource Corp. The acquisition has an
effective date of September 1, 2009. The completion of the acquisition is
subject to certain conditions, including normal regulatory approvals.
Production from the acquired properties, based on field estimates, is
approximately 57 bopd for the month of July, 2009. The Assets include
approximately 4000 net acres (6.25 net sections) of developed and undeveloped
In connection with the acquisition of the Assets, the Company received
from the Vendor, an in-house generated reserve evaluation prepared in
accordance with National Instrument 51-101 by a qualified evaluator associated
with the Vendor. Subsequently, the Company had the evaluation audited and at
September 1, 2009, Robinson Petroleum Consulting Ltd. estimated the proved
reserves for the Assets to be 295,640 barrels of oil and the
proved-plus-probable reserves to be 371,000 barrels of oil.
Acquisition costs equate to $50,430 per flowing bopd, based on 57 bopd or
$9.72 per barrel of oil on a reserve basis.
In connection with the acquisition of the Assets, Greg Ziegler P. Eng.
will be appointed to PanTerra's board of directors.
PanTerra Resource Corp. is an Alberta-based oil and gas company focused
on the exploration and development of conventional and unconventional
potential in Western Canada. The Company holds 'rights' in various properties
in Western Canada. PanTerra trades on the TSX Venture Exchange under the
symbol "PAN". Further information can be found at www.panterraresource.com.
This news release contains certain forward-looking statements, which
include assumptions with respect to (i) drilling success; (ii) production;
(iii) future capital expenditures; and (iv) cash flow. The reader is cautioned
that assumptions used in the preparation of such information may prove to be
Certain information regarding PanTerra set forth in this document,
including management's assessment of PanTerra's future plans and operations,
number, type and timing of wells to be drilled, the planning and development
of certain prospects, production estimates, reserve estimates, undeveloped
land holdings and values, capital expenditures and the timing thereof and the
total future capital required to bring undeveloped proved and probable
reserves onto production, and expected production growth may constitute
forward-looking statements under applicable securities laws and necessarily
involve substantial known and unknown risks and uncertainties. These
forward-looking statements are subject to numerous risks and uncertainties,
certain of which are beyond PanTerra's control, including without limitation,
risks associated with oil and gas exploration, development, exploitation,
production, marketing and transportation, loss of markets, the impact of
general economic conditions, industry conditions, volatility of commodity
prices, currency fluctuations, environmental risks, competition, the lack of
availability of qualified personnel or management, inability to obtain
drilling rigs or other services, capital expenditure costs, including
drilling, completion and facility costs, unexpected decline rates in wells,
wells not performing as expected, stock market volatility, delays resulting
from our inability to obtain required regulatory approvals and ability to
access sufficient capital from internal and external sources, the impact of
general economic conditions in Canada, the United States and overseas,
industry conditions, changes in laws and regulations (including the adoption
of new environmental laws and regulations) and changes in how they are
interpreted and enforced, increased competition, the lack of availability of
qualified personnel or management, fluctuations in foreign exchange or
interest rates, stock market volatility and market valuations of companies
with respect to announced transactions and the final valuations thereof, and
obtaining required approvals of regulatory authorities. Readers are cautioned
that the foregoing list of factors is not exhaustive. PanTerra's actual
results, performance or achievement could differ materially from those
expressed in, or implied by, these forward-looking statements and,
accordingly, no assurance can be given that any of the events anticipated by
the forward-looking statements will transpire or occur, or if any of them do
so, what benefits, including the amount of proceeds, that the Corporation will
derive therefrom. Readers are cautioned that the foregoing list of factors is
not exhaustive. All subsequent forward-looking statements, whether written or
oral, attributable to the Corporation or persons acting on its behalf are
expressly qualified in their entirety by these cautionary statements.
Additional information on these and other factors that could affect PanTerra's
operations and financial results are included in reports on file with Canadian
securities regulatory authorities and may be accessed through the SEDAR
website (www.sedar.com) or PanTerra's website (www.panterraresource.com).
The forward-looking statements contained in this document are made as at
the date of this news release and PanTerra does not undertake any obligation
to update publicly or to revise any of the included forward-looking
statements, whether as a result of new information, future events or
otherwise, except as may be required by applicable securities laws.
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.
For further information:
For further information: Fred P. Rumak P.Geol., President and C.E.O. at
(403) 261-5900, Email: email@example.com; or Herve B. Collet, V.P.
Operations/C.O.O. at (403) 261-5900, Email: firstname.lastname@example.org