SKANA Capital Corp.
TSX VENTURE : SKN

SKANA Capital Corp.

June 17, 2009 09:30 ET

SKANA Reports Financial Results for Year Ended March 31, 2009

VANCOUVER, BRITISH COLUMBIA--(Marketwire - June 17, 2009) - SKANA Capital Corp. ("SKANA") (TSX VENTURE:SKN) announces release of its audited consolidated financial statements for the year ended March 31, 2009. For the year ended March 31, 2009, SKANA had a consolidated loss of $16,541,798 ($0.32 basic and diluted loss per common share) compared to consolidated loss of $2,003,902 ($0.04 basic and diluted loss per common share) for the comparative year in 2008.

The shares of Ryland Oil Corp. and Rainy River Resources Ltd. were trading at significantly below their original costs as at December 31, 2008. Consequently, an impairment loss of $14,817,898 was recognized in the consolidated statement of operations and deficit. The fair value movement of these securities during the fourth quarter were insignificant. Therefore, no further impairment loss was recognized in the fourth quarter.

As at March 31, 2009 SKANA had cash and cash equivalents of $11,339,803 and carried its marketable securities at fair value of $4,843,730. SKANA maintains all of its cash and cash equivalents with Schedule A banks.

Through a series of transactions SKANA acquired ownership of 1,200,000 common shares of Rainy River Resources Ltd. ("Rainy River"), 3,000,000 shares of Roadrunner Oil and Gas Inc. ("Roadrunner") and 13,269,500 shares of Ryland Oil Corp. ("Ryland") as at March 31, 2009 which are listed for trading on the TSX Venture Exchange. These purchases were made for investment purposes and SKANA could increase or decrease its investments in Rainy River, Roadrunner and/or Ryland depending on market conditions or any other relevant factor.

SKANA's audited consolidated financial statements and management discussion and analysis ("MD&A") for the year ended March 31, 2009 have been filed on SEDAR and are available for download at www.sedar.com.

About SKANA Capital Corp.

SKANA is listed on the TSX Venture Exchange as an Investment Issuer and carries on business as a merchant bank. It makes strategic investments in resource-based and other opportunities that it believes have significant potential for appreciation through its financial involvement and guidance.

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

  • SKANA Capital Corp.
    Greg Clarkes
    Chairman
    (604) 669-4899