CALGARY, ALBERTA--(Marketwired - Sep 19, 2013) - Americas Petrogas Inc. (TSX VENTURE:BOE) ("Americas Petrogas" or the "Company") announced today that, following recent success of its ongoing Vaca Muerta Shale exploration program and recent industry enquiries concerning potential business opportunities, its Board of Directors has authorized management to commence a process to review strategic alternatives for maximizing shareholder value. The Company has engaged Jefferies LLC as its sole financial advisor as it considers a range of strategic alternatives, potentially including joint venture(s) on one or more of its 14 operated blocks covering more than 2,000,000 acres, a sale of specific assets, a sale or merger of the Company, as well as continued execution of the Company's business plan.
Barclay Hambrook, President and CEO, commented, "Given the sustained progress and strong commitment of industry to the Vaca Muerta Shale trend, and Americas Petrogas' several recent operational achievements, we believe now is an appropriate time for the Company to explore strategic alternatives to unlock shareholder value. We selected Jefferies to assist us due to its broad expertise and market leadership in shale transactions."
During its strategic review, Americas Petrogas will continue to aggressively de-risk and operate a majority of its leading Vaca Muerta Shale position in the Neuquén Basin, to expand its application of unconventional drilling technology, and to exploit its large inventory of attractive conventional projects through ongoing development drilling.
The Company does not intend to comment further regarding the evaluation of strategic alternatives, unless a specific transaction or process is concluded, or it otherwise deems further disclosure is appropriate or required. There can be no assurance that this review will result in the Company pursuing any transaction or that a transaction, if pursued, will be completed.
About Americas Petrogas Inc.
Americas Petrogas Inc. is a Canadian company whose shares trade on the TSX Venture Exchange under the symbol "BOE". Americas Petrogas has conventional and unconventional shale oil and gas and tight sands oil and gas interests in numerous blocks in the Neuquén Basin of Argentina. Americas Petrogas has joint venture partners, including ExxonMobil and Apache, on various blocks in the shale oil and gas corridor in the Neuquén Basin, Argentina. Ryder Scott Company of Houston has completed an independent report dated June 30, 2013 for the Company estimating recoverable resources of 8.3 Billion Barrels of oil Equivalent, or BOE (see Americas Petrogas News Release dated August 22, 2013 including important disclosures).
Certain statements contained in this press release constitute "forward-looking statements" as such term is used in applicable Canadian and US securities laws. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or are not statements of historical fact and should be viewed as "forward-looking statements". These statements relate to analyses and other information that are based upon forecasts of future results, estimates of amounts not yet determinable and assumptions of management. Such forward looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements.
In particular, statements (express or implied) contained herein regarding reviewing various strategic alternatives, continuing to aggressively de-risk and operate a majority of its leading Vaca Muerta Shale position in the Neuquén Basin, expanding its application of unconventional drilling technology, and exploiting its large inventory of attractive conventional projects through ongoing development drilling should all be viewed as forward-looking statements.
There can be no assurance that such forward-looking statements will prove to be accurate as actual results and future events could vary or differ materially from those anticipated in such statements. There can be no assurance that this review will result in the Company pursuing any transaction or that a transaction, if pursued, will be completed. Accordingly, readers should not place undue reliance on forward-looking statements contained in this press release. The forward-looking statements contained herein are expressly qualified by this cautionary statement.
Forward-looking statements are made based on management's beliefs, estimates and opinions on the date the statements are made and the Company undertakes no obligation to update forward-looking statements, if these beliefs, estimates and opinions or other circumstances should change, except as required by applicable law.
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