CALGARY, ALBERTA--(Marketwired - July 13, 2016) - Lightstream Resources Ltd. (the "Company" or "Lightstream") (TSX:LTS) announces that, in connection with our proposed recapitalization transaction announced on July 12, 2016, we have received a preliminary interim order (the "Preliminary Interim Order") from the Court of Queen's Bench of Alberta initiating proceedings under the Canada Business Corporations Act ("CBCA") in respect of a proposed CBCA plan of arrangement. The Preliminary Interim Order includes a stay prohibiting any person, including holders of the Company's secured and unsecured notes, other than the lenders under the Company's revolving credit facility, from terminating, making any demand, accelerating, amending or declaring in default or taking any enforcement steps under any contract or other agreement to which the Company is a party, by reason of the Company's commencement of proceedings under the CBCA, among other reasons. Additionally, as previously announced, the Company has entered into a forbearance agreement with its lenders under its revolving credit facility.
The Company anticipates that we will return to Court on or before August 5, 2016 to seek a further order authorizing us to call, hold and conduct the required special meetings of the Company's shareholders and the holders of our secured and unsecured notes to consider and vote on the proposed CBCA plan of arrangement.
Lightstream intends to continue to operate our business and satisfy our obligations to our service providers, suppliers, contractors and employees in the ordinary course of business as we pursue completion of our proposed recapitalization.
Readers are urged to consult the Company's press release issued July 12, 2016 for further details respecting our proposed recapitalization.
Lightstream Resources Ltd. is an oil and gas exploration and production company focused on light oil in the Bakken and Cardium resource plays. We are committed to delivering industry leading operating netbacks, strong cash flows and consistent operating results through leading edge technology applied to a multi-year inventory of existing and emerging resource play opportunities. Our long-term strategy is to efficiently develop our assets and deliver an attractive dividend yield.
Forward-Looking Information. Certain information provided in this press release constitutes forward-looking information (within the meaning of applicable Canadian securities laws). Specifically, this press release contains forward-looking information in respect of the timing of the interim order application and Lightstream's intentions to operate its business in a manner consistent with past practice. The forward-looking statements are based on information currently available as well as certain expectations and assumptions concerning anticipated financial performance, business prospects and general market conditions. Although Lightstream 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 Lightstream 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, which risks include, without limitation that the Company may not obtain the interim order on the timelines anticipated or at all, for reasons currently unforeseen the Company may be required to alter its business strategy and/or practices and the completion of the Recapitalization may have a different effect on the Company and may not be completed on the timelines anticipated or at all. In addition, the Company is exposed to each of the risks set forth in its annual information form for the year ended December 31, 2015 which has been filed on SEDAR and can be accessed at www.sedar.com. Except as may be required by applicable securities laws, Lightstream assumes no obligation to publicly update or revise any forward-looking information provided herein or otherwise, whether as a result of new information, future events or otherwise.