KELOWNA, BRITISH COLUMBIA--(Marketwired - Feb. 27, 2017) -
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Pulse Oil Corp. ("Pulse" or the "Company") (TSX VENTURE:PUL) announces the closing of its Qualifying Transaction, as detailed in Pulse's Filing Statement dated February 15, 2017 that is filed on SEDAR. The TSX Venture Exchange (the "Exchange") has approved Pulse's proposed Qualifying Transaction to acquire all of the issued and outstanding shares of Hydrate Resources Corp. ("HRC") (the "Transaction") as recently described in Pulse's news release of February 17, 2017 and as updated below.
Pulse is also pleased to announce that as a result of the closing of the Qualifying Transaction, Pulse will change from a capital pool company to a Tier 2 oil and gas company once the Exchange issues its final bulletin approving the Qualifying Transaction. As a result Pulse shares will resume trading on the Exchange under the symbol "PUL". A further announcement will be made shortly regarding the date trading will resume.
New Board of Directors and Management Team
Pursuant to the terms of the Transaction, Messrs. Garth Johnson, Drew Cadenhead, Douglas Ellenor and John Doyle have been appointed as the Board of Directors of Pulse, replacing the current board members consisting of Messrs. Dev Randhawa, Ross McElroy and William Marsh.
Dev Randhawa, outgoing Pulse Oil Corp. CEO and President stated "This is an exciting new stage for shareholders as we complete the transition to Pulse Oil Corp. I'd like to thank Garth Johnson and his experienced team for their diligent work and wish them the very best of luck as they take the company forward."
Additionally, Mr. Johnson has been appointed as Chief Executive Officer and Corporate Secretary, Mr. Cadenhead has been appointed President and Chief Operating Officer and Mr. Aaron Doyle has been appointed as Chief Financial Officer of Pulse. For background on the Board of Directors and Management please visit www.pulseoilcorp.com or www.sedar.com.
Garth Johnson, CEO of Pulse Oil Corp. stated "We want to thank Dev, Ross, William and Greg for all the effort they have invested in closing this transaction, and we look forward to working with all of them as long-term valued shareholders of Pulse. We are excited about the future for our shareholders, as the timing of this venture coincides with continued commodity price strengthening and a perceptible uptick in industry excitement. Drew and I, our small team and shareholder group, started HRC to investigate exploration opportunities around the world. As commodity prices dropped, we recognized an opportunity to acquire small to medium sized proven reserves at discounted prices. We created an acquisition-based business plan to focus on these assets in Western Canada; looking for solid, proven reserves and production as well as low-risk, yet substantial, upside. After a long search, we acquired our first interests in a package of producing assets in the Bigoray area of central Alberta, which we feel, have significant low-risk enhanced oil recovery upside. We have continued to keep our finger on the "Pulse" of acquisition opportunities; continually reviewing all potential transactions that fit within our criteria for investment. We expect to complete additional acquisitions throughout the year, building Pulse into an even stronger, reserve-backed, low-risk producer. We look forward to sharing with our shareholders the opportunity for growth, utilizing our teams deal making ability and proven operational experience."
Drew Cadenhead, President and COO of Pulse Oil Corp. stated "We spent considerable effort evaluating potential acquisition opportunities before closing our first acquisition. Our 50% interest in the Bigoray assets is centered within the conventional, multi-zone light-oil, liquids-rich Pembina/Bigoray trend of Central Alberta. We are initially partnering with an experienced operator to restart and optimize existing proven production that has been shut-in for years due to low commodity prices These re-activations will provide immediate positive cash flow as we begin to grow Pulse. Once full primary production has been re-established at Bigoray, we have the option to expand our interest in these assets to 100%, including the associated infrastructure. The enhanced oil recovery project associated with the Bigoray Nisku assets caught our attention as a low-risk path to creating significant potential value; converting original oil in place to proven producing reserves and associated NPV forms a platform for kick-starting Pulse's growth. More data and videos of are available on these assets at Pulse's website at www.pulseoilcorp.com".
About Pulse Oil Corp.
Pulse is a Canadian company incorporated on September 17, 2012 under the Business Corporation Act of Alberta and has plans to become a leading oil and gas company. Pulse will focus on acquiring affordable, small to medium sized proven oil and gas assets with significant upside. The Company plans to achieve further growth through acquisitions, combined with low-risk, technically diligent drilling, infrastructure ownership and reserve growth utilizing new technology and proven enhanced oil recovery techniques.
Investors are cautioned that, except as disclosed in the management information circular or filing statement to be prepared in connection with the Transaction, any information released or received with respect to the transaction may not be accurate or complete and should not be relied upon. Trading in the securities of a capital pool company should be considered highly speculative.
The TSX Venture Exchange Inc. has in no way passed upon the merits of the proposed transaction and has neither approved nor disapproved the contents of this press release."
This press release contains forward-looking information. More particularly, this press release contains statements concerning the date on which the Company's shares will resume trading, and the Company's business plans. Any information about Pulse contained in the press release has not been independently verified by the Company. Although the Company believes in light of the experience of its officers and directors, current conditions and expected future developments and other factors that have been considered appropriate that the expectations reflected in this forward-looking information are reasonable, undue reliance should not be placed on them because the Company can give no assurance that they will prove to be correct. Forward-looking information involves known and unknown risks, uncertainties, assumptions and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking information. The forward-looking statements contained in this press release are made as of the date hereof and the Company undertakes no obligations to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.
This press release does not constitute and the subject matter hereof is not, an offer for sale or a solicitation of an offer to buy, in the United States or to any "U.S Person" (as such term is defined in Regulation S under the U.S. Securities Act of 1933, as amended (the "1933 Act")) of any equity or other securities of Pulse Oil Corp. The securities of Pulse Oil Corp. have not been registered under the 1933 Act and may not be offered or sold in the United States (or to a U.S. Person) absent registration under the 1933 Act or an applicable exemption from the registration requirements of the 1933 Act.