Pine Cliff Energy Ltd.
TSX VENTURE : PNE

September 24, 2010 17:30 ET

Pine Cliff Energy Ltd.: News Release

CALGARY, ALBERTA--(Marketwire - Sept. 24, 2010) - Pine Cliff Energy Ltd. ("Pine Cliff") (www.pinecliffenergy.com) (TSX VENTURE:PNE) is pleased to announce that it has completed the disposition of its indirect subsidiary, CanAmericas (Argentina) Energy Ltd. for aggregate consideration of $450,000, consisting of $1,000 cash and a $449,000 convertible note payable within 120 days of closing. At the option of the purchaser, the convertible note may be paid in shares of the purchaser. In such event, if the purchaser's shares are listed on a recognized stock exchange, then such shares would be priced at 87.5% of the volume weighted average trading price for the 10 days preceding the date of payment. If the purchaser continues to be a private corporation, the shares would be valued by an independent evaluator. Pine Cliff may also receive additional consideration of $200,000 payable in cash or shares of the purchaser in the event that certain conditions are met, including that the purchaser receives approval to drill a well and drills such well in the Neuquen Province of Argentina within two years of this closing.

As a result of this transaction, Pine Cliff has disposed of the South American segment of its operations. Pine Cliff intends to focus on the development of its Canadian oil and natural gas properties and to continue increasing its activities in Canada by pursuing acquisition opportunities and participating in a more active drilling program.

For Further Information:

Further information relating to Pine Cliff may be found on www.sedar.com as well as on Pine Cliff's website at www.pinecliffenergy.com.

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

  • Pine Cliff Energy Ltd.
    George F. Fink
    President and CEO
    (403) 269-2289
    (403) 265-7488 (FAX)
    or
    Pine Cliff Energy Ltd.
    Garth E. Schultz
    CFO
    (403) 269-2289
    (403) 265-7488 (FAX)
    or
    Pine Cliff Energy Ltd.
    Kirsten Kulyk
    Manager, Investor Relations
    (403) 269-2289
    (403) 265-7488 (FAX)
    info@pinecliffenergy.com
    www.pinecliffenergy.com