Canadian Phoenix Resources Corp.
TSX VENTURE : CXP

Canadian Phoenix Resources Corp.

March 17, 2010 14:24 ET

Canadian Phoenix Announces Amendment to Warrant Terms

CALGARY, ALBERTA--(Marketwire - March 17, 2010) - Canadian Phoenix Resources Corp. (the "Corporation") (TSX VENTURE:CXP) is pleased to announce that it has now re-priced and extended the expiry date of certain of its outstanding common share ("Common Share") purchase warrants ("Warrants").

The Corporation has obtained the required Warrant holder approvals to amend the common share purchase warrant indenture dated March 17, 2008 between the Corporation and Computershare Trust Company of Canada ("Computershare") (the "March Indenture") and the common share purchase warrant indenture dated August 8, 2008 between the Corporation and Computershare (the "September Indenture").

These adjustments have been incorporated into the terms of a supplemental trust indenture dated effective January 11, 2010 between the Corporation and Computershare amending the March Indenture and a supplemental trust indenture dated effective January 11, 2010 between the Corporation and Computershare amending the September Indenture.

The exercise price of the Corporation's Warrants dated March 17, 2008 (the "March Warrants") is now $1.25 per Common Share up to and including the period ending January 11, 2011, and $2.50 per Common Share from January 12, 2011 to the March Expiry Date (as defined below).

The term of the March Warrants (the "March Expiry Date") has been extended to 4:30 p.m. (Calgary time) on March 17, 2011, provided however:

  1. if during the period commencing effective January 11, 2010 and ending on January 11, 2011 the closing price of the Common Shares exceeds $1.56 on the TSX Venture Exchange (the "TSXV") for any ten consecutive trading days, the exercise period will be reduced to 30 days commencing on the seventh calendar day following the tenth such trading day; and
  1. if during the period commencing effective January 12, 2011 and ending on the March Expiry Date the closing price of the Common Shares exceeds $3.13 on the TSXV for any ten consecutive trading days, the exercise period will be reduced to 30 days commencing on the seventh calendar day following the tenth such trading day.

The exercise price of the Corporation's Warrants dated August 8, 2008 (the "September Warrants") is now $1.25 per Common Share up to and including the period ending January 11, 2011, and $2.50 per Common Share from January 12, 2011 to the September Expiry Date (as defined below).

The term of the September Warrants (the "September Expiry Date") has been extended to 4:30 p.m. (Calgary time) on September 19, 2011, provided however:

  1. if during the period commencing effective January 11, 2010 and ending on January 11, 2011 the closing price of the Common Shares exceeds $1.56 on the TSX Venture Exchange (the "TSXV") for any ten consecutive trading days, the exercise period will be reduced to 30 days commencing on the seventh calendar day following the tenth such trading day; and
  1. if during the period commencing effective January 12, 2011 and ending on the September Expiry Date the closing price of the Common Shares exceeds $3.13 on the TSXV for any ten consecutive trading days, the exercise period will be reduced to 30 days commencing on the seventh calendar day following the tenth such trading day.

As required by the TSX Venture Exchange policies, an aggregate of 22,447,736 September Warrants originally issued to a finder have not been amended and will be subject to their original terms, including an expiry date of March 17, 2010.

These amendments to the terms of the warrants have been accepted by the TSX Venture Exchange. For further information on the original issuance of the warrants, please refer to the press releases of Corporation dated March 18, 2008, August 12, 2008 and September 22, 2008, filed on SEDAR.

Warrantholders are advised that replacement warrant certificates will not be issued and that the original warrant certificates must be presented to the Computershare in order to effect the exercise or transfer of such warrants.

Canadian Phoenix Resources Corp. is an oil and gas exploration company, based in Calgary, Alberta. Further information on Corporation may be obtained by accessing Corporation's website at www.canadian-phoenix.com.

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 Information

  • Canadian Phoenix Resources Corp.
    Michael Atkinson
    President & CEO
    (403) 920-0040
    or
    Canadian Phoenix Resources Corp.
    Tim Moran
    Chief Financial Officer
    (403) 705-1198
    www.canadian-phoenix.com