CALGARY, Dec. 21, 2016 /CNW/ - Resource Merchant Capital (RMC), an Alberta-based private capital firm, and Acceleware Ltd. (Acceleware) (TSX-V:AXE) announced today that RMC has invested $1.175 million in Acceleware, a developer of high performance seismic imaging and modeling software products and innovative technology for radio frequency (RF) heating of heavy oil and oil sands. RMC's investment includes $500,000 in common shares and common share purchase warrants, and $675,000 in convertible debentures. Further information about the terms of the common shares, common share purchase warrants, and convertible debentures is disclosed in Acceleware's news releases dated October 11, 2016 and December 19, 2016.
Acceleware will use the proceeds of the investment primarily to finance the further development of the RF XL enhanced oil recovery technology. RF XL is a low-cost, low-carbon enhanced oil recovery technology that was first announced in June 2016. Acceleware continues to advance its multi-phase field test program to validate the performance of RF XL. The program will culminate with a commercial scale field test in 2017 and 2018. Acceleware has filed multiple patents to protect the innovations inherent in the RF XL concepts.
Acceleware's RF XL technology uses radio waves instead of steam, driving down the cost of oil sands production and lowering its environmental impact to a level comparable to that of other global sources of crude oil.
"Resource Merchant Capital is the perfect financial partner for us," said Geoff Clark, CEO of Acceleware Ltd. "Not only will they give us patient and flexible capital, they also bring to bear extensive experience growing oil and gas technology and service businesses. RMC's combination of commercial experience and technical track record is difficult to replicate and invaluable to us."
"We are extremely excited about our investment in Acceleware. The company has all the criteria we are looking for - not only in the growth potential of their new RF heating technology, but also with its industry leading geoscience software solutions," said Chad Robinson, Managing Director of RMC. "As always, RMC will be taking a long-term approach to the investment, partnering with Acceleware to meet its growth potential."
About Resource Merchant Capital:
Resource Merchant Capital (www.resourcemc.com) is an Alberta based, private capital firm focused exclusively on oil and gas product and service companies. RMC partners with technology-focused companies to build world class businesses that drive significant wealth for founders, entrepreneurs, leaders and shareholders.
Acceleware (www.acceleware.com) develops high performance seismic imaging and modeling software products and provides innovative technology for radio frequency (RF) heating, an emerging thermal enhanced oil recovery method. As experts in programming for multi-core CPUs and massively parallel GPUs, Acceleware's professional services team specializes in accelerating computationally intense applications for clients to speed up product design, analyze data and help make better business decisions. Acceleware's products and services are used by some of the world's largest energy and engineering companies.
Acceleware is a public company on Canada's TSX Venture Exchange under the trading symbol AXE.
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.
This news release contains "forward-looking information" within the meaning of Canadian securities legislation. Forward-looking information is any information about RMC or Acceleware that is prospective in nature, and often includes words such as "anticipates," "expects," "estimates," "intends," and words and terms of similar substance, in connection with discussions about RMC's or Acceleware's future operations or financial performance.
Forward-looking information in this news release includes information regarding the proposed use of the funds from RMC's investment in Acceleware and the development and testing of Acceleware's RF Heating Technology. Acceleware made certain material assumptions to develop this forward looking information including that the capital requirements of Acceleware shall remain consistent with Acceleware's current and anticipated needs.
Actual results may vary from the forward-looking information in this news release due to certain material risk factors. These risk factors include changes in prevailing economic conditions and changes in the development of Acceleware's RF Heating Technology.
Neither RMC nor Acceleware assume any obligation to update or revise the forward-looking information in this presentation, unless either is required to do so under applicable securities legislation.
SOURCE Acceleware Ltd.
For further information: Resource Merchant Capital, Chad Robinson, Tel: +1 (403) 993-9986, firstname.lastname@example.org, www.resourcemc.com; Acceleware Ltd., Geoff Clark, Tel: +1 (403) 249-9099, email@example.com, www.acceleware.com