CALGARY, Alberta, Dec. 23, 2014 (GLOBE NEWSWIRE) -- Quattro Exploration and Production Ltd. (TSX-V:QXP) ("Quattro" or the "Company") is pleased to announce the completion and tie-in of the first of two light oil wells at Oak, BC. The conventional oil well was a re-entry and completion that tested at 125 boe/d (net) 75% oil, 25% gas to Quattro and is anticipated under good production practices to average 75 boe/d in the first 180 days graduating to having a 7 to 10% annual decline after 180 days of production.
Further to these results Quattro deemed it appropriate to complete an addition tranche of its previously announced non-brokered private placement (the "Private Placement") in the aggregate additional amount of $671,149.90 consisting of the issuance of an additional 1,597,976 common shares on a "flow-through" basis, to Canadian institutional subscribers at a price of $0.42 per common share. The closing brings the total amount raised under this placement to an aggregate $1,679,149.90, consisting of the issuance of 3,997,976 common shares. The additional shares are subject to a four month hold period that expires on April 24, 2015. In connection with the current portion of the offering, the Company paid a finder's fee of $33,557.50 representing 5% of the aggregate subscriptions secured by an eligible finder.
The proceeds of the Private Placement will be used for further oil and natural gas exploration in Western Canada.
About Quattro Exploration and Production Ltd.
Quattro Exploration and Production Ltd. ("QXP") continues to focus on the conventional exploration and development of oil and natural gas reserves in Western Canada, primarily in south central Saskatchewan, with an expanding presence in Western Canada. Our core low risk production base will provide us the capacity to aggressively pursue a series of high impact exploration and development efforts in Western Canada, Central and South America. The company intends to balance this portfolio of activities to assure its shareholders that it achieves material growth including reserves, production and profitability.
This release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address future production, reserve potential, exploration drilling, exploitation activities and events or developments that the Company expects are forward-looking statements. Although the Company believes the expectations expressed in such forward looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and those actual results or developments may differ materially from those projected in the forward-looking statements. For more information on the Company, Investors should review the Company's registered filings which are available at www.sedar.com.
This news release shall not constitute an offer to sell or the solicitation of any offer to buy, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful. The securities offered have not been and will not be registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or applicable exemption from the registration requirements of the U.S. Securities Act and applicable state securities laws.
Barrel ("bbl") of oil equivalent ("boe") amounts may be misleading particularly if used in isolation. All boe conversions in this report are calculated using a conversion of six thousand cubic feet of natural gas to one equivalent barrel of oil (6 mcf=1 bbl) and is based on an energy conversion method primarily applicable at the burner tip and does not represent a value equivalency at the well head.
Trading in the securities of Quattro Exploration & Production Ltd. should be considered highly speculative. 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.
CONTACT: FOR FURTHER INFORMATION PLEASE CONTACT: Leonard Van Betuw Quattro Exploration & Production President and Chief Executive Officer Office (403) 984-3917 Direct Line (587) 228-7070 firstname.lastname@example.org www.qxp-petro.com
Source:Quattro Exploration and Production Ltd.