TSX-V SYMBOL: MTZ
CALGARY, July 11, 2013 /CNW/ - Montana Exploration Corp. ("Montana") is pleased to announce that it has entered into an extension and amending agreement with Rioco Partners, Ltd. (the "Rioco") whereby, among other things, Rioco extended the availability of the principal amount of $1,000,000 owed by Montana to November 1, 2014 pursuant to a loan assigned by Brookfield Bridge Lending Fund Inc. to Rioco effective as of April 1, 2013 in consideration for 1,333,333 common shares in the capital of Montana (the "Common Shares"). The extension of the loan was a condition to the private placement with Wolseley Ventures Limited which closed on March 22, 2013.
Mr. Collins, a director and a controlling shareholder of Montana, is the principal shareholder of Rioco.
In connection with the issuance of Common Shares and the amendment to the loan, Montana relies on the exemptions set forth in section 5.5(a) and 5.7(a) (Fair Market Value Not More Than 25% of Market Capitalization) of MI 61-101 which allow an issuer to forego receiving a formal valuation and minority approval in respect of a related party transaction if at the time the transaction is agreed to, neither the fair market value of the subject matter of, nor the fair market value of the consideration for, the transaction, insofar as it involves interested parties, exceeds 25% of the issuer's capitalization.
NEITHER THE 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.
Caution Regarding Forward Looking Information
Certain statements contained in this document constitute "forward-looking statements" and/or "forward-looking information" within the meaning of applicable securities laws (collectively referred to as forward-looking statements). Forward-looking information is often, but not always, identified by the use of words such as "anticipate", "believe", "expect", "plan", "intend", "forecast", "target", "project", "guidance", "may", "will", "should", "could", "estimate", "predict" "propose" or similar words suggesting future outcomes or language suggesting an outlook.
In addition, the issuance of the Common Shares are subject to Montana receiving regulatory approval from the TSXV Venture Exchange .
Forward-looking statements and information contained in this press release are based on our current beliefs as well as assumptions made by, and information currently available to, us. Although we consider these assumptions to be reasonable based on information currently available to us, they may prove to be incorrect.
By their very nature, the forward-looking statements included in this press release involve inherent risks and uncertainties, both general and specific, and risks that predictions, forecasts, projections and other forward-looking statements will not be achieved. We caution readers not to place undue reliance on these statements as a number of important factors could cause the actual results to differ materially from the beliefs, plans, objectives, expectations and anticipations, estimates and intentions expressed in such forward-looking statements. These factors include, but are not limited to, the volatility of oil and gas prices; production and development costs and capital expenditures; the imprecision of reserve estimates and estimates of recoverable quantities of oil, natural gas and liquids; Montana's ability to replace and expand oil and gas reserves; environmental claims and liabilities; incorrect assessments of value when making acquisitions; increases in debt service charges; the loss of key personnel; the marketability of production; defaults by third party operators; unforeseen title defects; fluctuations in foreign currency and exchange rates; inadequate insurance coverage; compliance with environmental laws and regulations; changes in tax and royalty laws; Montana's ability to access external sources of debt and equity capital; and Montana's ability to obtain equipment in a timely manner to carry out development activities. Readers are cautioned that the foregoing list of factors that may affect future results is not exhaustive. When relying on our forward-looking statements to make decisions with respect to Montana, investors and others should carefully consider the foregoing factors and other uncertainties and potential events. Furthermore, the forward-looking statements contained in this press release are made as of the date of this document and we do 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 required by applicable law. The forward-looking statements contained in this press release are expressly qualified by this cautionary statement.
SOURCE: Montana Exploration Corp.
For further information:
Charles Selby, Chairman & CEO
Telephone: (403) 265 9091 (ext 247)
Fax: (403) 265 9021
Email: [email protected]
Don Foulkes, President
Telephone: (403) 265 9091 (ext 248)
Fax: (403) 265 9021
Email: [email protected]