Nexstar Energy Ltd.

Nexstar Energy Ltd.

February 17, 2010 17:24 ET

Nexstar Energy Announces Completion of Arrangement With Result Energy

CALGARY, ALBERTA--(Marketwire - Feb. 17, 2010) - Nexstar Energy Ltd. (TSX VENTURE:NXE.A) ("Nexstar" or the "Company") announces that it has completed its previously announced Arrangement (the "Arrangement") with Result Energy Inc ("Result") pursuant to a Plan of Arrangement. In the Arrangement, Result acquired all of the outstanding securities of Nexstar through the issuance of 1.05 Result common shares for each Class A Share of Nexstar. If they have not already done so, registered Nexstar shareholders may now tender their Nexstar shares and letters of transmittal in exchange for Result shares pursuant to the Arrangement.

At the Special Meeting of the shareholders of Nexstar which was held on February 16, 2010, the Arrangement was approved by over 99% of the votes cast by shareholders. Final approval from the Court of Queen's Bench of Alberta was also received today.

It is anticipated that the Class A Shares of Nexstar will be delisted from trading on the TSX Venture Exchange on February 22, 2010 and application will be made to applicable securities regulatory authorities for Nexstar to cease to be a reporting issuer under applicable securities laws.

Reader Advisory

This news release may contain certain forward-looking statements, which include assumptions with respect to (i) production; (ii) future capital expenditures; (iii) funds from operations; (iv) cash flow; and (v) debt levels. The reader is cautioned that assumptions used in the preparation of such information may prove to be incorrect. All such forward-looking statements involve substantial known and unknown risks and uncertainties, certain of which are beyond the Company's control. Such risks and uncertainties include, without limitation, risks associated with oil and natural gas exploration, development, exploitation, production, marketing and transportation, loss of markets, volatility of commodity prices, currency fluctuations, imprecision of reserve estimates, environmental risks, competition from other producers, inability to retain drilling rigs and other services, delays resulting from or inability to obtain required regulatory approvals and ability to access sufficient capital from internal and external sources, the impact of general economic conditions in Canada and the United States, industry conditions, changes in laws and regulations (including the adoption of new environmental laws and regulations) and changes in how they are interpreted and enforced, increased competition, the lack of availability of qualified personnel or management, fluctuations in foreign exchange or interest rates, stock market volatility and market valuations of companies with respect to announced transactions and the final valuations thereof, and obtaining required approvals of regulatory authorities. The Company's actual results, performance or achievements could differ materially from those expressed in, or implied by, these forward-looking statements and, accordingly, no assurances can be given that any of the events anticipated by the forward-looking statements will transpire or occur, or if any of them do, what benefits, including the amount of proceeds, the Company will derive therefrom. Readers are cautioned that the foregoing list of factors is not exhaustive. All subsequent forward-looking statements, whether written or oral, attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these cautionary statements. Furthermore, the forward-looking statements contained in this news release are made as at the date of this news release and the Company does not undertake any obligation to update publicly or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by applicable securities laws.

127,401,169 Class A Shares

Neither 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

  • Nexstar Energy Ltd.
    Peter A. Carwardine
    President and CEO
    (403) 263-6133 ext. 201
    (403) 263-3629 (FAX)
    Nexstar Energy Ltd.
    Brian J. Spilchen
    VP Finance and CFO
    (403) 263-6133 ext. 202
    (403) 263-3629 (FAX)
    Nexstar Energy Ltd.
    603 - 7 Avenue SW, Suite 525
    Calgary, Alberta T2P 2T5