CALGARY, Nov. 6 /CNW/ - Bonterra Oil & Gas Ltd. (www.bonterraenergy.com) (TSX: BNE) ("Bonterra" or the "Company") announces that it has closed its previously announced agreement to divest of a portion of its Shaunavon oil production to Eagle Rock Exploration Ltd. (TSXV: ERX) ("Eagle Rock"). The disposition consists of approximately 200 barrels per day of medium gravity oil production and 18.5 sections of land in the Eastend area of Southwestern Saskatchewan.
The Company received approximately $24,000,000 in cash and 30,769,200 common shares in Eagle Rock. The share ownership represents approximately 4.2 percent of the outstanding common shares of Eagle Rock. George F. Fink, Chairman and CEO of Bonterra, has agreed to accept a Board of Directors position with Eagle Rock. Proceeds from the sale will be used to accelerate Bonterra's horizontal Pembina Cardium development program.
The TSX has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.
Certain information set forth in this press release, including management's assessment of Bonterra's future plans and operations, contains forward-looking statements. By their nature, forward-looking statements are subject to numerous risks and uncertainties, some of which are beyond Bonterra's control, including the impact of general economic conditions, industry conditions, volatility of commodity prices, currency fluctuations, imprecision of reserve estimates, environmental risks, competition from other industry participants, the lack of availability of qualified personnel or management, stock market volatility and ability to access sufficient capital from internal and external sources. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements. Bonterra'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 that Bonterra will derive therefrom. Bonterra disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
SOURCE Bonterra Energy Corp.
For further information: For further information: George F. Fink, Chairman and CEO or Randy M. Jarock, President and COO or Garth E. Schultz, Vice President - Finance and CFO or Kirsten Kulyk, Manager, Investor Relations, Telephone: (403) 262-5307, Fax: (403) 265-7488, Email: email@example.com