SNV:CC - Sonoro Energy Ltd. Announces Closing of Private Placement Graduation from the NEX to the TSXV and Drilling Update
(TheNewswire)
This press releaseis not to be disseminated in the United States
Calgary, Alberta - TheNewswire - September 8, 2023- Sonoro Energy Ltd. (" Sonoro " or the" Company ") (NEX:SNV.H) is pleased to announce the closing of anon-brokered Private Placement of common share units for total grossproceeds of $1,753,416 and that the TSX Venture Exchange("TSXV") has granted conditional approval for theCompany's graduation to TSXV as a Tier 2 Oil and Gas Issuer, subjectto the Company satisfying conditions. Assuming satisfaction of suchconditions, it is expected that the graduation from NEX to TSXV willoccur on or about Thursday, September 14, 2023.
Each unit of the financing iscomprised of one $0.06 common share (a “Common Share”) and onecommon share purchase warrant (a “Warrant”) of the Company, whereeach whole Warrant entitles the holder to purchase one Common Sharewithin two years at a price of $0.12 per Common Share. The securitiesissued in connection with the Offering will be subject to a four monthand one day hold period from the date of issuance of such securitiesand are subject to TSXV approval. As part ofthis non-brokered financing, warrants are subject to an accelerationclause. This clause states that if, four months and one day after thewarrants are issued, the closing price of the common shares of theCorporation, on the principal market on which such shares trade, isequal to, or exceeds, C$0.15 for 10 consecutive trading days (with the10th such trading date hereafter referred to as the “EligibleAcceleration Date”), the warrant expiry date shall accelerate to adate 20 calendar days after issuance of a press release by theCorporation announcing the reduced warrant term—provided, no morethan five business days following the Eligible Acceleration Date,that, the press release is issued; and notices are sent to all warrantholders.
Proceeds from the private placement will supportongoing activities relating to its previously announced WesternCanadian Sedimentary Basin Farm-In Agreement, general corporatepurposes and pursuit of international oil and gasopportunities.
Sonoro Energy Canada Ltd., a wholly owned subsidiary ofSonoro, has been granted a license to drill its first well under thefarm-in letter agreement by the Saskatchewan Ministry of Energy andResources and is in the process of lease construction which will thenbe immediately followed by the arrival of the drilling rig, withanticipated spudding of the well expected prior to September 30,meeting the farm-in agreement condition. Sonoro's managementanticipates the well to take 5 days from spud to drilling completionand upon confirmation of the productive formation from wireline logs,Sonoro's management expects that the well will be completed andequipped for production. The second welllocation has also been selected, surveyed and negotiated with thelandowner.
Sonoro has also been advised by TSXV that the proposed15% rolling stock option plan disclosed in Sonoro's management proxycircular dated August 11, 2023 for its meeting on September 22, 2023does not comply with TSXV requirements. Therefore, the 15% rollingstock option plan will not be implemented by the Company. Sonorowill be seeking shareholder approval of a 10% rolling stock optionplan at a later date and prior to the grant of any stock options undersuch plan.
Sonoro is pleased to announce the appointment ofRichard Wadsworth as Chief Executive Officer of the Company, inaddition to his current role as Chairman of the Board, in connectionwith its graduation from NEX to TSXV. Mr. Wadsworth is a petroleumengineer with over 30 years experience in operations and managementinternationally. He was a co-founder, director, and President ofBankers Petroleum. Mr. Wadsworth recently led and developed a 55,000bopd oilfield in Iraq with development planned to 230,000 bopd.
Forward-lookingStatements
Certain information in this news release constitutesforward-looking statements under applicable securities laws. Anystatements that are contained in this news release that are notstatements of historical fact may be deemed to be forward-lookingstatements. Forward-looking statements are often identified by termssuch as "may," "should," "anticipate,""expects," "estimates," "seeks" andsimilar expressions. In particular, without limiting the generality ofthe foregoing, this news release contains forward-looking informationregarding the opportunities discussed.
Forward-looking statements necessarily involve knownand unknown risks, including, without limitation, risks associatedwith oil and gas exploration, development, exploitation, production,marketing and transportation, loss of markets, volatility of commodityprices, currency fluctuations, imprecision of reserve estimates,environmental risks, competition from other producers, inability toretain drilling rigs and other services, delays resulting from orinability to obtain required regulatory approvals, changes inlegislation including but not limited to income tax, environmentallaws and regulatory matters, and ability to access sufficient capitalfrom internal and external sources. Readers are cautioned that theforegoing list of factors is not exhaustive.
Readers are cautioned not to place undue reliance onforward-looking statements as there can be no assurance that theplans, intentions or expectations upon which they are placed willoccur. Such information, although considered reasonable by managementat the time of preparation, may prove to be incorrect and actualresults may differ materially from those anticipated. Forward-lookingstatements contained in this news release are expressly qualified bythis cautionary statement.
Additional information on these and other factors thatcould affect Sonoro's operations or financial results are included inSonoro’s reports on file with Canadian securities regulatoryauthorities and may be accessed through the SEDAR website(www.sedar.com) or by contacting Sonoro. The forward-lookingstatements contained in this news release are made as of the date ofthis news release and Sonoro does not undertake any obligation toupdate publicly or to revise any of the included forward-lookingstatements, whether as a result of new information, future events orotherwise, except as expressly required by securities law.
Neither the TSXVenture Exchange nor its Regulation Service Provider (as that term isdefined in the policies of the TSX Venture Exchange) acceptsresponsibility for the adequacy or accuracy of thisrelease .
For further information to participate in futurefinancing, please contact the company at:
On behalf of the Board of Directors
of Sonoro Energy Ltd.
Dean Callaway, CFO and Director
+1.403.262.3252
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