CALGARY, July 7, 2014 /CNW/ - Stream Oil & Gas Ltd. (TSX-V: SKO) ("Stream" or the "Company") announces that it has entered into a Letter of Intent ("LOI") to arrange the issuance of a debenture of up to Cdn$5.0 million to Letho Resources Corp. ( TSX-V: LET) ("Letho"). Terms of the debenture are being finalized and are expected to include a right of Stream to convert the debenture into shares of Stream and pre-payment privileges, subject to regulatory approval. The Company is arranging the debenture for its capital expenditure program and general working capital purposes.
In connection with the proposed debenture agreement, Robert Hall, President and Chief Executive Officer of Letho, joins Stream's Board of Directors (the "Board") effective July 7, 2014. Mr. Hall brings to Stream over 10 years of experience in management of both public and private companies. In addition to his role at Letho, he is the CFO and a director of Doubleview Capital Corp. Mr. Hall is also active as a director of Arctic Hunter Energy Inc. and Windfire Capital Corp. Stream looks forward to Mr. Hall providing strategic and financial expertise to Stream's future direction.
Marlowe Allison has resigned effective July 3, 2014 as a Director of the Company for personal reasons. Mr. Allison had been a Director of the Company and Chairman of the Audit Committee since 2011, providing guidance and support in a number of areas during his tenure, including improvements to Stream's financial reporting process.
"I would like to welcome Robert to the Board while sincerely thanking Marlowe for his contribution to Stream," said Dr. Sotirios Kapotas, President and Chief Executive Officer. "Marlowe's dedication to the Company and guidance in financial areas was extremely valuable over the past few years. On behalf of the Board and Stream, I wish Marlowe all the best in the future."
This news release contains forward-looking statements that address future events and conditions and are subject to various risks and uncertainties in relation to the Company under the meaning of applicable securities laws, including Canadian Securities Administrators' National Instrument 51-102 Continuous Disclosure Obligations. Specifically, the completion of the debenture arrangements is subject to finalization of the terms of the debenture that will be mutually agreeable to Stream and Letho and to TSX Venture Exchange acceptance for both companies.
The forward-looking statements contained herein are made as of the date of this release solely for the purpose of generally disclosing the proposed debenture with Letho. Investors are cautioned that these forward-looking statements are neither promises nor guarantees, and are subject to risks and uncertainties that may cause future results to differ materially from those expected. There is no assurance that the debenture arrangements will be completed as presently anticipated or at all. Forward-looking statements are based on the expectations and opinions of the management of the Company on the date the statements are made, and are based on assumptions made by and information currently available to the Company, and involve known and unknown risks, uncertainties and other factors. The assumptions used in the preparation of such statements, 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. These forward-looking statements are made as of the date hereof and the Company does not assume any obligation to update or revise them to reflect new events or circumstances except as required under applicable securities legislation.
About Stream Oil & Gas Ltd.
Stream Oil & Gas Ltd. is a Canadian-based emerging oil and gas production, development and exploration company focused on the re-activation and re-development of three oilfields and a gas/condensate field in Albania. The Company's strategy is to use proven technology, incremental and enhanced oil recovery techniques to significantly increase production and reserves.
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 release.
SOURCE: Stream Oil & Gas Ltd.
For further information:
Dr. Sotirios Kapotas President & Chief Executive Officer P: (403) 531-2358
Susan J. Soprovich, Interim Corporate Secretary P: (403) 874-2903
Email [email protected]