TWO T2 Metals Corp

Twoco Petroleums Ltd. ("Twoco" or the "Company") (TSX VENTURE:TWO) announces
that it has entered into an agreement to amend its credit facility with its
lender with provisions that include:




--  The existing operating line of credit will be increased a further
    $800,000; 
--  The Company's credit facilities will be extended to April 30, 2013; and 
--  Interest payments have been deferred to the earlier of April 30, 2013 or
    the closing of a sale of the assets of Twoco or a merger or corporate
    sale pursuant to the Sale Process (as defined below). 



Twoco is in the process of reactivating six natural gas wells with a targeted
production date of on or before January 31, 2013. The Company anticipates that
the reactivation of these wells will add approximately 150 boe per day of
natural gas production. The Company is currently producing approximately 300 boe
per day (includes 105 barrels per day of oil and natural gas liquids) with total
estimated current productive capacity of 845 boe per day. Twoco has a material,
high working interest land position in its core area in Eastern Alberta, a
significant number of prospective drilling locations, a strategic proprietary
seismic database and a tax pool position in excess of $45 million as at
September 30, 2012. 


Strategic Alternatives

Twoco previously announced that it has been working on certain strategic
alternatives including, but not limited to, recapitalizing the Company through
financing arrangements, the sale of some or all of the assets of the Company or
merging with other companies. 


The Company has engaged Macquarie Capital Markets Canada Ltd. as its financial
advisor to conduct a full analysis and investigation of Twoco's strategic
alternatives which include a possible sale, transfer or other disposition,
directly or indirectly, of all or part of the equity securities, assets or
business of Twoco (the "Sale Process"). Twoco does not intend to disclose
developments with respect to the Sale Process until the board of directors has
approved a definitive transaction or strategic option, unless otherwise
determined or required by law. There are no guarantees that the process will
result in a transaction or, if a transaction is entered into, as to its terms or
timing. 


Twoco is an oil and gas company engaged in the exploration for, and the
acquisition, development and production of, oil and natural gas reserves
primarily in the Province of Alberta. Twoco has 73,905,789 common shares issued
and outstanding as at today's date. 


In this news release the calculation of barrels of oil equivalent (boe) is
calculated at a conversion rate of six thousand cubic feet (Mcf) of natural gas
for one barrel (Bbl) of oil based on an energy equivalency conversion method.
Boes may be misleading particularly if used in isolation. A boe conversion ratio
of 6 Mcf: 1Bbl is based on an energy equivalency conversion method primarily
applicable to the burner tip and does not represent a value equivalency at the
wellhead. Given that the value ratio based on the current price of crude oil as
compared to natural gas is significantly different from the energy equivalency
of 6:1, utilizing a conversion on a 6:1 basis may be misleading as an indication
of value.


Forward-Looking Statements: 

Certain information set forth in this news release contains forward-looking
statements or information ("forward-looking statements"), including statements
regarding the Company's credit facility, the Company's reactivation of six
natural gas wells, the anticipated production from the reactivated natural gas
wells, the total estimated productive capacity of the Company and the pursuit by
the Company of strategic alternatives. By their nature, forward-looking
statements are subject to numerous risks and uncertainties, some of which are
beyond Twoco's control, including the impact of general economic conditions,
industry conditions, volatility of commodity prices, currency fluctuations,
imprecision of reserve estimates, environmental risks, operational risks in
exploration and development, competition from other industry participants, the
lack of availability of qualified personnel or management, stock market
volatility and the ability to access sufficient capital from internal and
external sources. Although Twoco believes that the expectations in our
forward-looking statements are reasonable, our forward-looking statements have
been based on factors and assumptions concerning future events which may prove
to be inaccurate. Those factors and assumptions are based upon currently
available information. Such statements are subject to known and unknown risks,
uncertainties and other factors that could influence actual results or events
and cause actual results or events to differ materially from those stated,
anticipated or implied in the forward-looking statements. As such, readers are
cautioned not to place undue reliance on the forward-looking statements, as no
assurance can be provided as to future results, levels of activity or
achievements. The risks, uncertainties, material assumptions and other factors
that could affect actual results are discussed in our Annual Information Form
and other documents available at www.sedar.com. Furthermore, the forward-looking
statements contained in this document are made as of the date of this document
and, except as required by applicable law, Twoco does not undertake any
obligation to publicly update or to revise any of the included forward-looking
statements, whether as a result of new information, future events or otherwise.
The forward-looking statements contained in this document are expressly
qualified by this cautionary statement.  


This news release shall not constitute an offer to sell or the solicitation of
any offer to buy securities in any jurisdiction.


FOR FURTHER INFORMATION PLEASE CONTACT: 
Twoco Petroleums Ltd.
Wayne A. Malinowski
President and Chief Executive Officer
(403) 231-8653
(403) 237-6048 (FAX)

T2 Metals (TSXV:TWO)
Historical Stock Chart
From Nov 2024 to Dec 2024

T2 Metals (TSXV:TWO)
Historical Stock Chart
From Dec 2023 to Dec 2024