Calmena Energy Services Inc.
TSX : CEZ

Calmena Energy Services Inc.

January 19, 2015 08:30 ET

Calmena Announces Senior Lender Action and Director Resignations

CALGARY, ALBERTA--(Marketwired - Jan. 19, 2015) -

Calmena Energy Services Inc. (TSX:CEZ) ("Calmena" or the "Company") announces an update on its senior credit facilities ("Credit Facilities").

On October 29, 2013, Calmena and its senior lender (the "Senior Lender") entered into an agreement whereby the Senior Lender agreed to forbear from demanding payment or enforcing security with respect to amounts owing by Calmena under its Credit Facilities with the Senior Lender on certain terms. Calmena and the Senior Lender subsequently entered into several extension agreements pursuant to which the Senior Lender agreed to continue to forbear from demanding payment or enforcing its security under the Credit Facilities until January 15, 2015.

To date the Senior Lender has not granted continued forbearance. The Senior Lender has verbally indicated to the Company that it intends to imminently issue a formal demand for repayment of the Credit Facilities, however to date no formal written demand for repayment of the Credit Facilities has been received by Calmena or any of its subsidiaries from the Senior Lender. Three of Calmena's directors have a conflict, given they are, directly or indirectly, holders of an aggregate of $10.6 million of secured debt of the Company, which debt is subordinated to the Credit Facilities. Given these developments, all five members of Calmena's board of directors tendered their resignations to Calmena, which resignations were made effective at the close of business January 15, 2015.

The Company owes approximately $16.6 million under the Credit Facilities. The Credit Facilities are secured by all of Calmena's and its subsidiaries' assets located in Canada, USA and Mexico.

ABOUT CALMENA ENERGY SERVICES INC.

Calmena is a diversified energy services company that provides contract drilling and directional drilling services to its customers operating in the United States, Latin America and the Middle East and North Africa. The common shares of Calmena trade on the Toronto Stock Exchange under the symbol "CEZ".

The TSX has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release.

Contact Information

  • Calmena Energy Services Inc.
    John R. King
    President and Chief Executive Officer
    (403) 225-3879
    (403) 366-2066 (FAX)

    Calmena Energy Services Inc.
    Peter J. Balkwill
    Vice President Finance and Chief Financial Officer
    (403) 225-3879
    (403) 366-2066 (FAX)

    Calmena Energy Services Inc.
    1200, 1122 - 4th Street SW
    Calgary, Alberta T2R 1M1
    (403) 225-3879
    (403) 366-2066 (FAX)
    www.calmena.com