Greentree Gas & Oil Ltd.

Greentree Gas & Oil Ltd.

May 06, 2011 10:41 ET

Greentree Announces Asset Sale

LONDON, ONTARIO--(Marketwire - May 6, 2011) -

Attention Business/Financial Editors:

Greentree Gas & Oil Ltd. (TSX VENTURE:GGO) ("Greentree" or the "Company") announces that on April 12, 2011, the Company filed a notice of intention to make a proposal to its creditors under the Bankruptcy and Insolvency Act (Canada). In conjunction with this filing, Greentree completed a sale of all its oil and gas assets to On-Energy Corp for a gross purchase price of $2.575 million on April 15, 2011. Greentree's intention is to file a proposal to its creditors with the proposal being funded from the net funds remaining from the asset sale after paying amounts owing to the Company's secured creditors.

Greentree Gas & Oil Ltd. is based in London, Ontario and is an explorer and producer of oil and natural gas in southwestern Ontario.

Reader advisory:

Some statements in this news release that are not historical facts, including statements about plans and expectations regarding meeting filing deadlines, payment of obligations, regulatory actions and filing of Annual Filings are forward-looking. Investors are cautioned that the forward-looking statements of the Company may include certain estimates, assumptions and other forward-looking information. The actual future events, performance, developments and/or results may differ materially from any or all of the forward-looking statements, which include current expectations, estimates and projections, in all or part attributable to general economic conditions, and other risks, uncertainties and circumstances partly or totally outside the control of the Company, including potential actions by securities regulatory authorities, natural gas/oil prices, reserve estimates, drilling risks, future production of gas and oil, rates of inflation, changes in future costs and expenses related to the activities involving the exploration, development and production of gas and oil hedging, financing availability and other risks related to financial activities.

Contact Information

  • Greentree Gas & Oil Ltd.
    Duncan Hamilton, M.Sc., P. Geol.
    (519) 681-9355
    (519) 681-3887 (FAX)

    Greentree Gas & Oil Ltd.
    207-209 Consortium Court
    London, Ontario
    N6E 2S8