CALGARY,
March 6, 2014 /CNW/ - Alston Energy
Inc. ("Alston" or the "Company") announces today
that, further to its previous press releases, it has obtained a
further order from the Alberta
Court of Queen's Bench (the "Court") pursuant to the
Companies' Creditors' Arrangement Act (Canada) ("CCAA") extending the
protection from its creditors granted by the Court under its
Initial Order until May 9, 2014. In
addition, the Court granted approval of the previously announced
sale by Alston of all of its oil and gas assets in the Alexander area of Alberta (the "Alexander Assets") to a
private Alberta company. The sale
of the Alexander Assets subsequently occurred on March 6, 2014.
In addition, Alston announces that it will not
be able to file its audited annual financial statements and related
management's discussion and analysis for the period ended
December 31, 2013 together with the
related certification of filings under National Instrument 52-109
Certification of Disclosure in Issuers' Annual and Interim
Filings (collectively, the "Continuous Disclosure
Documents") by April 30, 2014,
the deadline prescribed by securities legislation (the
"Specified Requirement"). In addition, it will not be able
to file the report required under National Instrument 51-101 -
Standards of Disclosure for Oil and Gas Activities. As
previously disclosed, on December 9,
2013, the Company commenced proceedings in the Court under
the CCAA. In the CCAA proceedings, Alston continued its business
under the protection of a stay of creditor claims and conducted a
sales process. Under the CCAA, Alvarez & Marsal Canada Inc. was
appointed by the Court as Monitor. Since the CCAA proceedings
commenced, in compliance with the CCAA and the orders of the Court
in the CCAA proceedings, Alston has provided the Monitor with full
access to its accounting records. The Monitor has filed with the
Court periodic reports which have included Alston's cash flow
projections and other financial information concerning the Company.
The Company anticipates that the Monitor will continue to file
reports with the Court (and post them on its website) updating
relevant financial information concerning the Company. The
Monitor's reports and Court records are available on line on its
website at www.alvarezandmarsal.com/alston.
As a result of being in CCAA, Alston does not
have the requisite resources to prepare and file the Continuous
Disclosure Documents reflecting its financial position as of
December 31, 2013. Alston intends to
file the Continuous Disclosure Documents as soon as is commercially
reasonable, or as required by the Court.
Alston intends to satisfy the provisions of the
alternative information guidelines set out in National Policy
12-203 Cease Trade Orders for Continuous Disclosure Defaults
("NP 12-203") so long as it remains in default of the
Specified Requirement. It also intends to file with the applicable
securities regulatory authorities throughout the period in which it
is in default of the Specified Requirement, the same information it
provides to its creditors when the information is provided to its
creditors and in the same manner as it would file a material change
report under Part 7 of National Instrument 51-102 Continuous
Disclosure Requirements.
The common shares of Alston Energy Inc. trade on
the TSX Venture Exchange under the trading symbol "ALO". The common
shares will continue to trade on the facilities of the TSX Venture
Exchange during the CCAA process.
For additional information about Alston please
visit our website www.alstonenergy.ca or under the company profile
on SEDAR www.sedar.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 press release.
Advisory: This press release contains forward-looking
statements. More particularly, this press release contains
statements concerning expectations regarding the anticipated
failure to file audited annual financial statements and the
intention to use the alternative reporting guidelines set forth in
NP 12-203.
The forward-looking statements contained
in this document are based on certain key expectations and
assumptions made by Alston, including expectations and assumptions
concerning the anticipated failure to file the financial statements
and the anticipated consequences thereof.
Although Alston 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 Alston 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. These include, but are not
limited to, the failure to close the acquisition based on the
inability of either party to meet a condition to closing as set
forth in the PSA.
The forward-looking statements contained
in this document are made as of the date hereof and Alston
undertakes no obligation 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.
SOURCE Alston Energy Inc.