Suroco Energy Inc.
TSX VENTURE : SRN

Suroco Energy Inc.

November 18, 2009 20:25 ET

Suroco Energy Inc. Announces Grant of Performance Warrants and Stock Options

CALGARY, ALBERTA--(Marketwire - Nov. 18, 2009) -

(NOT FOR DISSEMINATION IN THE UNITED STATES OF AMERICA)

Suroco Energy Inc. (TSX VENTURE:SRN) (the "Corporation") announces the grant of performance warrants (the "Performance Warrants") to acquire up to 1,550,000 common shares ("Common Shares") of the Corporation at a price of $0.36 per share, such Performance Warrants to expire three years from the date of grant. The Performance Warrants all contain a performance milestone based upon aggregate wellhead production by the Corporation (taken as a whole) for thirty (30) consecutive days, as determined by the disinterested members of the Board of Directors of the Corporation, with such performance warrants to vest upon the achievement by the Corporation of the aforementioned performance milestone. Of the 1,550,000 Performance Warrants that were granted, Performance Warrants to acquire up to 50,000 Common Shares contain a performance milestone of aggregate wellhead production by the Corporation (taken as a whole) exceeding net 1,000 barrels of oil, Performance Warrants to acquire up to 750,000 Common Shares contain a performance milestone of aggregate wellhead production by the Corporation (taken as a whole) exceeding net 1,500 barrels of oil and Performance Warrants to acquire up to 750,000 Common Shares contain a performance milestone of aggregate wellhead production by the Corporation (taken as a whole) exceeding net 2,000 barrels of oil.

The Performance Warrants were issued to employees and an consultant of the Corporation and an officer of Suroco Energy S.L.U. (formerly NCT Corporación Petrolera Latinoamericana S.L. ("NCT")), a wholly-owned subsidiary of the Corporation. Performance Warrants to acquire 1,500,000 Common Shares were issued in accordance with the Corporation's prior acquisition of NCT (as described in the Corporation's press release dated April 18, 2008). 

As part of this grant of Performance Warrants, an employee of the Corporation was granted Performance Warrants (with the 1,000 barrels of oil equivalent performance milestone) to acquire 50,000 Common Shares, a consultant was granted Performance Warrants (with the 1,500 barrels of oil equivalent performance milestone) to acquire 46,699 Common Shares and Performance Warrants (with the 2,000 barrels of oil equivalent performance milestone) to acquire 46,699 Common Shares and Mr. Leonardo Villarroel, a director and officer of Suroco Energy S.L.U., was granted Performance Warrants (with the 1,500 barrels of oil equivalent performance milestone) to acquire 188,093 Common Shares and Performance Warrants (with the 2,000 barrels of oil equivalent performance milestone) to acquire 188,093 Common Shares. 

The Corporation also announces the grant of incentive stock options to acquire up to 150,000 Common Shares at an exercise price of $0.36 per share, such options to expire five years from the date of grant. These options were granted to an employee of the Corporation.

The Corporation is a Calgary-based junior oil and gas company, which explores for, develops, produces and sells crude oil, natural gas liquids and natural gas in Colombia and Western Canada. The Corporation's common shares trade on the TSX Venture Exchange under the symbol SRN.

Neither 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

  • Suroco Energy Inc.
    Travis Doupe
    VP Finance and Chief Financial Officer
    (403) 232-6784