- Blacksteel Energy Inc. (BEY) has announced that it has converted all of its outstanding convertible debentures into equity
- This is the second step in the implementation of Blacksteel’s new business plan
- The conversion of $1,796,227 of outstanding convertible debentures into common shares of the corporation resulted in the issuance of 17,962,275 common shares
- The next step involves potential accretive transactions and the consolidation of 100 per cent of the Girouxville asset
- Blacksteel is a junior oil and gas company involved in the exploration, exploitation, development and production of petroleum and natural gas resources
- Upon completion of a significant transaction, Blacksteel intends to list its common shares on a recognized stock exchange to re-establish liquidity for its shareholders
Blacksteel Energy (BEY) has announced that it has converted all of its outstanding convertible debentures into equity.
Converting the outstanding convertible debentures to equity is the second step in the implementation of Blacksteel’s new business plan.
The conversion of $1,796,227 of outstanding convertible debentures into common shares of the corporation at a price of $0.10 per share resulted in the issuance of 17,962,275 common shares.
Blacksteel received approval from owners of the debentures holding in excess of the required 66.67 per cent of the outstanding principal amount to convert all debentures into equity.
The next step involves potential accretive transactions and the consolidation of 100 per cent of the Girouxville asset.
Upon consolidation of the Alberta-based Girouxville producing asset, a work program is planned to boost production and cash flow given the current oil price environment.
Blacksteel’s new business plan includes evaluating international oil and gas opportunities that provide significant accretive exposure on a per share basis to Blacksteel’s current reserves, production or cash flow while raising capital to support the various initiatives.
“The completion of the conversion of the convertible debentures strengthens the Blacksteel balance sheet and represents a significant milestone in the execution of the business plan,” said Jeff Callaway, Blacksteel’s CEO.
“The resulting cash flow, in the context of the current oil price environment, will provide sufficient funds to advance an international opportunity to the benefit of Blacksteel shareholders,” he added.
Blacksteel is a junior oil and gas company involved in the exploration, exploitation, development and production of petroleum and natural gas resources.
Upon completion of a significant transaction, Blacksteel Energy intends to list its common shares on a recognized stock exchange to re-establish liquidity for its shareholders.