Divergent Energy Services Corp.

Divergent Energy Services Corp.

February 20, 2015 09:00 ET

Divergent Agrees to Issue Shares for Debt

CALGARY, ALBERTA--(Marketwired - Feb. 20, 2015) -


Divergent Energy Services Corp. (TSX VENTURE:DVG) (the "Corporation") announces that it has entered into an agreement (the "Debt Settlement") with MCM Consulting Inc. ("MCM"), providing for the settlement of a debt (the "Debt") arising under a Trade Name and Trade-mark License Agreement dated November 14, 2012 between MCM and Karlington Artificial Lift Ltd., a wholly-owned subsidiary of the Corporation. The Debt, which is in the amount of approximately US$240,000, was originally recorded and disclosed in the Corporation's financial statements as a contingent liability, but the parties have agreed under the Debt Settlement that the Debt will be satisfied by the issue of 1,000,000 shares in the capital of the Corporation (the "Common Shares") to MCM.

Ken Berg, President and Chief Executive Officer, states "I am extremely optimistic that this new arrangement brings the parties further into alignment and will accelerate the development and deployment of our Linear Electric Submersible Pump technologies."

The Debt Settlement is subject to the approval of the TSX Venture Exchange and the Common Shares issued will be subject to a four-month hold period, in accordance with applicable securities laws.

Headquartered in Calgary, Alberta, Divergent Energy Services Corp. provides an array of specialized products and services that are used in the energy, mining, and industrial & agricultural water industries.

This news release does not constitute an offer to sell or a solicitation of an offer to buy the securities described herein, nor shall there be any sale of these securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. The securities offered have not been registered under the U.S. Securities Act of 1933, as amended, or any other securities laws and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements

This press release contains forward-looking statements. More particularly, this press release contains statements concerning the receipt of TSX Venture Exchange approval and the issuance of the Common Shares. The forward-looking statements contained in this press release are based on certain key expectations and assumptions made by the Corporation. Although the Corporation believes that the expectations and assumptions on which the forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because the Corporation can give no assurance that they will prove to be correct. Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks. These include, but are not limited to, the failure to obtain necessary regulatory approvals and changes to existing laws and regulations. Forward-looking statements are based on estimates and opinions of management of the Corporation at the time the information is presented. The Corporation may, as considered necessary in the circumstances, update or revise such forward-looking statements, whether as a result of new information, future events or otherwise, but the Corporation undertakes no obligation to update or revise any forward-looking statements, except as required by applicable securities laws.

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