MONTREAL, Feb. 25 /CNW Telbec/ - Gale Force Petroleum Inc. (TSX Venture:
GFP, the "Corporation") today announced that the unsecured creditors
overwhelmingly voted to accept the Proposal to Creditors in support of the
Corporation's restructuring plan at a Meeting of Creditors held yesterday. The
Proposal to Creditors was filed on February 4, 2009 by the Corporation under
the Bankruptcy and Insolvency Act (Canada).
There was as significant turnout in voting, with votes from 56 unsecured
creditors counted at the Meeting of Creditors. With respect to Category I
Unsecured Creditors, 96% in number and 98% in value voted in favour of the
Proposal. With respect to Category II Unsecured Creditors, 100% in number and
in value voted in favour of the Proposal.
"The results of the vote are very encouraging", said Michael McLellan,
President and CEO. "We very much appreciate the support of the creditors and
investors in support of our restructuring efforts".
According to the terms of the Proposal to Creditors, the Corporation will
issue up to 47,000,000 common shares to settle all unsecured claims, upon
presentation of a proof of claim by each of the unsecured creditors. The Final
Approval of the Proposal is subject to sanction by the Court. The shares
issued as payment of debts under the Proposal to Creditors are subject to
prior applicable regulatory approval.
The Corporation also announced today that Ronald Bourgeois has stepped
down from the board of directors, effective on today's date. Mr. Bourgeois
also stepped down from the position of Chief Operations Officer.
Jocelyn Boucher, Chairman of the Board, said, "On behalf of the board of
directors and the Corporation, I would like to thank Ron Bourgeois for his
service, in particular for his help supporting the Corporation carry out its
restructuring plan in a highly volatile marketplace".
As part of its restructuring plan, the Corporation is now seeking new
financing and further business development opportunities. Further details will
be announced when available.
ABOUT GALE FORCE PETROLEUM INC.(TM) - www.GaleForcePetroleum.com
Gale Force Petroleum is a public corporation focused on acquiring and
exploiting unconventional and conventional gas resources in mature basins,
building shareholder value through growth. It owns producing natural gas
properties in Alberta, Canada and in Kentucky, USA.
Forward looking statements:
Statements included herein, including those that express management's
expectations or estimates of our future performance, constitute
"forward-looking statements" within the meaning of applicable securities laws.
Forward-looking statements - especially but not limited to any geological or
reservoir information not supported by a NI 51-101 report - are based on
assumptions and estimates that are subject to various risks and uncertainties
including but not limited to geological risk, engineering risks, market risk
and the risks disclosed under the heading "Business Risks" in the
Corporation's periodic filings with Canadian securities regulators, including
most recently in its Management Discussion and Analysis for the annual
exercise ended June 30, 2008 available on SEDAR. Such information contained
herein represents management's best judgment as of the date hereof based on
information currently available. The Corporation does not assume the
obligation to update any forward-looking statements.
"The TSX Venture Exchange has not reviewed this release and therefore
does not accept responsibility for its adequacy or accuracy."
For further information:
For further information: Michael McLellan, President and CEO, (514)