VANCOUVER, BC – Point Loma Resources Ltd. (TSXV:PLX) (“Point Loma” or the “Corporation“) announces the sale of 97.5% of its remaining Wizard Lake assets to the Corporation’s secured debenture holders and a secured creditor in exchange for cancellation of all of the outstanding secured debentures and all amounts owed to the secured creditor. The total consideration amounts to approximately $2.9 million.
Sale of Wizard Lake Working Interests
Point Loma has entered into Purchase and Sale Agreements with Kasten Resources Inc., 2147239 Alberta Ltd. and a private service provider to sell 97.5 percent of the Corporation’s working interest in the Wizard Lake oil property. The aggregate consideration is $2,907,699 inclusive of all outstanding interest and fees previously owed to the three purchasers.
Point Loma will retain a 1% WI in the existing lands and wells subject to various payout provisions and will retain operatorship of the property.
The sale is expected to close on or about May 21, 2020.
Board of Directors Change
Effective April 17, 2020, Mr. Jianjun Cui has resigned as a director of the Corporation. The board of directors and management of Point Loma thank Jianjun for his many contributions to the Corporation and wish him well in future ventures.
Temporary Relief from Regulatory Filings
On March 23, 2020, the Alberta Securities Commission , along with the other jurisdictions of the Canadian Securities Administrators, published temporary blanket relief for market participants from certain regulatory filings as a result of COVID-19.
The blanket relief provides a 45 day extension for periodic filings normally required to be made by the Corporation. Accordingly, the deadline for filing its Financial Statements, Management Discussion and Analysis (“MD & A”) and Annual Information Form for the year ended December 31, 2019 will be June 15, 2020 and the deadline for filing its Quarterly Financial Statements and MD&A for the three months ended March 31, 2020 will be July 14, 2020.
About Point Loma
Point Loma is a public oil and gas exploration and development company focused on conventional and unconventional oil and gas reservoirs in west central Alberta. The Corporation controls over 165,000 net acres (250 net sections) and has a deep inventory of oil opportunities. Point Loma’s business plan is to utilize its experience to identify, acquire and develop accretive assets with potential to employ horizontal multi-stage frac technology and to exploit opportunities for secondary recovery. For more information, please visit Point Loma’s website at www.pointloma.ca or Point Loma’s profile on the System for Electronic Document Analysis and Retrieval website at www.sedar.com.