Alange Energy announces binding agreement to acquire Delavaco Energy Inc.
With respect to the Proposed Transaction, Delavaco's financial advisor was Canaccord Capital Corp., and both Power One Capital Markets Limited and Clarus Securities Inc. acted as Strategic Advisors for Delavaco. Alange Energy's exclusive financial advisor with respect to the Proposed Transaction was GMP Securities L.P.
It is expected that the Amalgamation will be completed by no later than
About Delavaco
Delavaco is an Ontario corporation which was incorporated on
The Delavaco Projects Delavaco currently holds, and is in final negotiations to acquire, a working interest in the following exploration and exploitation blocks: - 51% working interest in the Rio Magdalena block located in the Middle Magdalena Basin; Delavaco is currently negotiating to acquire an additional 40% interest and operatorship status; - 39% working interest in the Carbonera block located in the Catatumbo Basin; Delavaco is in final negotiations to acquire an additional 6% interest in the Carbonera block by early October; - 3.6% interest in La Punta No.2, which is a producing well within the La Punta block in the Llanos Basin in Colombia; Delavaco is in negotiations to acquire a 6% to 10% working interest in the remainder of the La Punta block; and - Currently in negotiations to acquire operatorship status and a 15% interest in the Mecaya block in Putumayo Basin.
As at
In addition, Delavaco holds
Financial Information Concerning Delavaco
The following information is derived from Delavaco's management-prepared financial statements as at and for the six month period ended
------------------------------------------------------------------------- As at and for As at and for the financial the six months year ended ended June 30, December 31, 2009 (unaudited) 2008 (audited) ------------------------------------------------------------------------- Revenue $794,492 $1,620,905 ------------------------------------------------------------------------- Direct Costs $810,385 $1,379,575 ------------------------------------------------------------------------- Operating Expenses $2,629,332 $11,218,896 ------------------------------------------------------------------------- Net loss $(2,257,589) $(6,252,048) ------------------------------------------------------------------------- Total Assets $35,771,017 $30,391,042 ------------------------------------------------------------------------- Total Liabilities $11,523,709 $3,264,677 ------------------------------------------------------------------------- Shareholders' Equity $24,247,308 $27,126,365 -------------------------------------------------------------------------
Financing
In July, 2009 Delavaco engaged Primary Capital Inc. and PowerOne Capital Markets Limited (the "Agents") to act as agents in a best efforts
Conditions to Completion of the Amalgamation
The completion of the Amalgamation is subject to satisfaction of a number of customary conditions precedent, including but not limited to, receipt of final approval of the Exchange and the approval of the shareholders of Delavaco. There can be no assurance that the Amalgamation will be completed as proposed or at all.
The Amalgamation is between arm's length parties.
Alange Energy is a Canadian-based oil and gas exploration and production company, with working interests in eleven properties in
This news release contains forward-looking information which is not comprised of historical facts. Forward-looking information involves risks, uncertainties and other factors that could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information. Forward looking information in this news release includes, but is not limited to, the Company's objectives, goals or future plans, and the completion of the Proposed Transaction. Factors that could cause actual results to differ materially from such forward-looking information include, but are not limited to, Delavaco shareholders not approving the Proposed Transaction, conditions precedent to the closing not being satisfied, and TSXV final approval not being obtained. Although the Company believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information, which only applies as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. The Company disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, other than as required by law.
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 news release
%SEDAR: 00005776E
For further information: Michael Davies, Chief Financial Officer, (416) 360-4653, ext. 224
Share this article