CALGARY, Jan. 13 /CNW/ - Spry Energy Ltd. ("Spry" or the "Corporation") announces that it has engaged Peters & Co. Limited to provide
financial advisory services, including assistance in identifying and
evaluating possible liquidity events aimed at enhancing shareholder
Potential transactions Spry may pursue include, among others, a
negotiated combination of Spry's business and operations with another
oil and natural gas company or other entity by means of a take-over,
merger, sale, recapitalization, arrangement, amalgamation, or a sale of
assets, or any combination thereof.
There is no assurance that any agreement or transaction will occur, or
if a transaction is undertaken, as to its terms or timing. Spry does
not intend to disclose developments with respect to this process unless
and until the evaluation has been completed or the Board has approved a
definitive transaction and the Corporation has entered into a
definitive agreement for such transaction.
Corporately, current production rates are approximately 2,600 boe/d
weighted 70% to oil and we have three (2.7 net) oil wells scheduled to
be placed on production in February. We continue to be active at East
Pembina where we drilled six (5.1 net) oil wells during the three month
period ended December 31, 2010. To date, Spry has drilled 30 (19.4
net) oil wells, with a 100% success rate, in the halo fairway at East
Pembina. Spry is the operator of 27 of those wells.
Spry plans to drill six (4.6 net) additional oil wells at East Pembina
prior to March 31, 2011. We also plan to drill two (1.7 net) heavy oil
wells at Northminster and three (1.7 net) oil wells in our Southeast
Saskatchewan core area prior to March 31, 2011.
Spry is a Calgary, Alberta based corporation engaged in the exploration,
development and production of oil and natural gas.
Forward Looking Statements
This news release contains forward-looking statements relating to the
Corporation, including with respect to the strategic alternative review
process and potential transactions Spry may pursue. Forward-looking
statements typically use words such as "anticipate", "believe",
"project", "expect", "plan", "intend" or similar words suggesting
future outcomes, statements that actions, events or conditions "may",
"would", "could" or "will" be taken or occur in the future.
These forward-looking statements are based on various assumptions
including expectations regarding the outlook for petroleum and natural
gas prices; estimated amounts and timing of capital expenditures; the
timing, location and extent of future operations; anticipated timing
and results of capital expenditures; estimates of future production;
the state of the economy and the exploration and production business;
results of operations; performance; business prospects and
opportunities; future exchange and interest rates; impact of increasing
competition; ability to market oil and natural gas successfully; the
ability of Spry to access capital; availability of potential
transactions and interests from third parties in pursuing potential
transactions with Spry. While Spry considers these assumptions to be
reasonable based on information currently available to it, they may
prove to be incorrect.
By their nature, forward-looking statements involve numerous
assumptions, known and unknown risks and uncertainties and other
factors that contribute to the possibility that the predicted outcome
will not occur, including, without limitation: risks associated with
oil and gas exploration, development, exploitation, production,
marketing and transportation; loss of markets; volatility of commodity
prices; currency fluctuations; imprecision of reserve estimates;
environmental risks; general economic conditions in Canada, the U.S.
and globally; ability to access sufficient capital from internal and
external sources; and that the exploration of strategic alternatives may not result in any agreement or transaction and, if completed, that
any such agreement or transaction may not be successful or on
attractive terms. Readers are cautioned that the foregoing list of
factors is not exhaustive.
Although Spry believes that the expectations represented in such
forward-looking statements are reasonable, there can be no assurance
that such expectations will prove to be correct. As a consequence,
actual results may differ materially from those anticipated in the
forward-looking statements and you should not unduly rely on
forward-looking statements. The forward-looking statements contained in
this news release are made as the date of this news release and the
Corporation 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.
SOURCE Spry Energy Ltd.
For further information:
|Kenneth Bowie |
President & CEO
Vice President, Finance & CFO