Welcome!

News Feed Item

Quattro Closes Acquisition at Milo-Clarke Lake, North East British Columbia, Completes Divestiture of Non-Core Assets at Noel, British Columbia, and Signs a Binding Letter of Intent for the ...

Acquisition of Producing Properties at Donalda, Alberta

CALGARY, ALBERTA -- (Marketwired) -- 03/25/14 -- Quattro Exploration and Production Ltd. (TSX VENTURE: QXP) ("Quattro" or the "Company") is pleased to announce;

Milo-Clarke Lake, British Columbia

On March 24th, 2014, Quattro closed the acquisition of 100% of Progress Energy Canada, Japex Montney Ltd. and Petroleum Brunei Montney Holdings Ltd's interests, including all wells, facilities and lands as outlined in the agreement as the Milo-Clarke Lake Region of British Columbia.

The effective date for the acquisition is February 1st, 2014, which increases Quattro's production in the region by 900 mcf/d (net) bring Quattro's production at Milo-Clarke Lake up to 1,850 mcf/d (net). On closing, Quattro will become the Operator of Record for the facilities and the associated wells while increasing its ownership in the related facilities to 52%. The facilities are well-maintained, with a designed capacity of 20,000 mcf/d of compression, dehydration and treating. Quattro now holds a 48% operating interest in the wells which in February of 2014 averaged 3,850 mcf/d. The wells are long life in nature and have produced to date a total of 59.6 BCF of gas from the Slave/Pine Point formation and are located within Quattro's current developed and undeveloped land base. The purchase price was $750,000 plus G.S.T., and the assumption of the associated decommissioning costs estimated to be approximately $680,000 (net) less further post-closing adjustments as would be normally associated with an acquisition of this nature, for a total cost of $1,430,000 or $9,530 per flowing boe/d. The acquisition was funded through the combination of cash on hand and current cash-flow.

Noel, British Columbia

Quattro would also like to announce the sale of its 80% interest in exploration lands located at Noel, BC to Nordic Oil and Gas Ltd. In connection with the sale, Quattro acquires a 2.5% GORR on the lands and retains an option to convert to a 25% net operating interest at the casing point of the first well. The sale price was $300,000 paid by way of the issuance of a securitized Promissory Note for $100,000, due on or before December 2014, yielding 8% interest per annum and 4,000,000 units of Nordic ("Units"), each Unit consisting of one (1) Class A common share of Nordic ("Nordic Shares") and 4,000,000 purchase warrants ("Nordic Warrants"). Each Nordic Warrant is exercisable into one Nordic Share at a purchase price of $0.05 per share prior to March 20th, 2016.

Donalda, Alberta

Quattro has also executed a binding letter of intent for the acquisition from a private Alberta based company of a combination of 1,000 mcf/d of natural gas along with the associated gathering and compression and spare equipment. The results will be, 1,000 mcf/d being added to Quattro's Donalda facilities and a 600 mcf/day (net) increase in production. The Company also acquired certain additional lands, minerals rights and suspended wells along with the associated undeveloped land. The effective date of the acquisition will be February 1st, 2014.

The acquisition adds additional flexibility and capacity to further increase production through reactivations in the region with the goal of bringing Quattro's Donalda production to greater than 3,000 mcf/d (net) in the 3rd quarter of 2014. Upon closing the Company's developed land base at Donalda will be 44,465 acres (net) developed and 27,810 acres (net) of undeveloped lands.

The purchase price is $350,000 plus G.S.T., and the assumption of the associated decommissioning costs estimated to be approximately $925,000 (net) with further post-closing adjustments as would be normally associated with an acquisition of this nature, for a total cost of $1,275,000 or $12,750 per flowing boe/d, which also includes all developed and undeveloped lands. The acquisition is being funded through a combination of cash on hand and current cash-flow. The transaction is scheduled to close on or before April 30th, 2014.

Leonard Van Betuw, President and CEO commented, "As we announced in our February 25th, 2014 news release, these transactions are evidence of the execution of Quattro's continuing business plan involving the consolidation of its producing asset base and the consolidation of non-operating interests within the Company's core areas, consisting of an extensive network of processing facilities and pipeline gathering systems. We have a very dedicated team at Quattro, and both the Company and staff, are pleased with its progress in achieving its ambitious goals. The Company continues to advance its remediation plans and with the addition of this 1,500 mcf/d announced today we are aggressively nearing our previously announced production and asset targets as set out for the first half of 2014."

"The Company is now the operator of record and has a greater than 65% ownership in 8 facilities. Quattro's operated facilities have a combined capacity of 12,000 BOEPD (net). In Canada it continues to Quattro's plan to continue to concentrate on being a diversified and efficient operator of these facilities. The Company's efforts are increasing both volumes and netbacks as we aggressively improve equipment utilization through optimization and consolidation as shown with the announcements made today. Quattro is pleased on how our strategy of developing a diversified, low-risk material growth plan in western Canada is advancing, while we continue our broader commitment to simultaneously improving our corporate value both in western Canada and Central America.", added Mr. Van Betuw.

About Quattro Exploration and Production Ltd.

Quattro Exploration and Production Ltd. ("QXP") continues to focus on the conventional exploration and development of oil and natural gas reserves in Western Canada, with an expanding presence in Alberta and British Columbia. It's core low risk production base will provide the Company the capacity to aggressively pursue a series of high impact exploration and development efforts in Central and South America. Quattro intends to balance this portfolio of activities to assure its shareholders that it achieves material growth in both reserves and production.

This release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address future production, reserve potential, exploration drilling, exploitation activities and events or developments that the Company expects are forward-looking statements. Although the Company believes the expectations expressed in such forward looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward - looking statements. Factors that could cause actual results to differ materially from those in forward looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and those actual results or developments may differ materially from those projected in the forward-looking statements. For more information on the Company, Investors should review the Company's registered filings which are available at www.sedar.com.

This news release shall not constitute an offer to sell or the solicitation of any offer to buy, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful. The securities offered have not been and will not be registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or applicable exemption from the registration requirements of the U.S. Securities Act and applicable state securities laws.

BOE presentation:

Barrel ("bbl") of oil equivalent ("boe") amounts may be misleading particularly if used in isolation. All boe conversions in this report are calculated using a conversion of six thousand cubic feet of natural gas to one equivalent barrel of oil (6 mcf=1 bbl) and is based on an energy conversion method primarily applicable at the burner tip and does not represent a value equivalency at the well head.

Trading in the securities of Quattro Exploration and Production Ltd. should be considered highly speculative. 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 release.

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

Latest Stories
Consumers increasingly expect their electronic "things" to be connected to smart phones, tablets and the Internet. When that thing happens to be a medical device, the risks and benefits of connectivity must be carefully weighed. Once the decision is made that connecting the device is beneficial, medical device manufacturers must design their products to maintain patient safety and prevent compromised personal health information in the face of cybersecurity threats. In his session at @ThingsExpo...
Existing Big Data solutions are mainly focused on the discovery and analysis of data. The solutions are scalable and highly available but tedious when swapping in and swapping out occurs in disarray and thrashing takes place. The resolution for thrashing through machine learning algorithms and support nomenclature is through simple techniques. Organizations that have been collecting large customer data are increasingly seeing the need to use the data for swapping in and out and thrashing occurs ...
As many know, the first generation of Cloud Management Platform (CMP) solutions were designed for managing virtual infrastructure (IaaS) and traditional applications. But that’s no longer enough to satisfy evolving and complex business requirements. In his session at 21st Cloud Expo, Scott Davis, Embotics CTO, will explore how next-generation CMPs ensure organizations can manage cloud-native and microservice-based application architectures, while also facilitating agile DevOps methodology. He wi...
In his session at @ThingsExpo, Arvind Radhakrishnen discussed how IoT offers new business models in banking and financial services organizations with the capability to revolutionize products, payments, channels, business processes and asset management built on strong architectural foundation. The following topics were covered: How IoT stands to impact various business parameters including customer experience, cost and risk management within BFS organizations.
SYS-CON Events announced today that CA Technologies has been named "Platinum Sponsor" of SYS-CON's 21st International Cloud Expo®, which will take place October 31-November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. CA Technologies helps customers succeed in a future where every business - from apparel to energy - is being rewritten by software. From planning to development to management to security, CA creates software that fuels transformation for companies in the applic...
From 2013, NTT Communications has been providing cPaaS service, SkyWay. Its customer’s expectations for leveraging WebRTC technology are not only typical real-time communication use cases such as Web conference, remote education, but also IoT use cases such as remote camera monitoring, smart-glass, and robotic. Because of this, NTT Communications has numerous IoT business use-cases that its customers are developing on top of PaaS. WebRTC will lead IoT businesses to be more innovative and address...
An increasing number of companies are creating products that combine data with analytical capabilities. Running interactive queries on Big Data requires complex architectures to store and query data effectively, typically involving data streams, an choosing efficient file format/database and multiple independent systems that are tied together through custom-engineered pipelines. In his session at @BigDataExpo at @ThingsExpo, Tomer Levi, a senior software engineer at Intel’s Advanced Analytics ...
Given the popularity of the containers, further investment in the telco/cable industry is needed to transition existing VM-based solutions to containerized cloud native deployments. The networking architecture of the solution isolates the network traffic into different network planes (e.g., management, control, and media). This naturally makes support for multiple interfaces in container orchestration engines an indispensable requirement.
Blockchain is a shared, secure record of exchange that establishes trust, accountability and transparency across business networks. Supported by the Linux Foundation's open source, open-standards based Hyperledger Project, Blockchain has the potential to improve regulatory compliance, reduce cost as well as advance trade. Are you curious about how Blockchain is built for business? In her session at 21st Cloud Expo, René Bostic, Technical VP of the IBM Cloud Unit in North America, will discuss th...
yperConvergence came to market with the objective of being simple, flexible and to help drive down operating expenses. It reduced the footprint by bundling the compute/storage/network into one box. This brought a new set of challenges as the HyperConverged vendors are very focused on their own proprietary building blocks. If you want to scale in a certain way, let’s say you identified a need for more storage and want to add a device that is not sold by the HyperConverged vendor, forget about it....
SYS-CON Events announced today that App2Cloud will exhibit at SYS-CON's 21st International Cloud Expo®, which will take place on Oct. 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. App2Cloud is an online Platform, specializing in migrating legacy applications to any Cloud Providers (AWS, Azure, Google Cloud).
Recently, IoT seems emerging as a solution vehicle for data analytics on real-world scenarios from setting a room temperature setting to predicting a component failure of an aircraft. Compared with developing an application or deploying a cloud service, is an IoT solution unique? If so, how? How does a typical IoT solution architecture consist? And what are the essential components and how are they relevant to each other? How does the security play out? What are the best practices in formulating...
While some vendors scramble to create and sell you a fancy solution for monitoring your spanking new Amazon Lambdas, hear how you can do it on the cheap using just built-in Java APIs yourself. By exploiting a little-known fact that Lambdas aren’t exactly single-threaded, you can effectively identify hot spots in your serverless code. In his session at @DevOpsSummit at 21st Cloud Expo, Dave Martin, Product owner at CA Technologies, will give a live demonstration and code walkthrough, showing how ...
SYS-CON Events announced today that MobiDev, a client-oriented software development company, will exhibit at SYS-CON's 21st International Cloud Expo®, which will take place October 31-November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. MobiDev is a software company that develops and delivers turn-key mobile apps, websites, web services, and complex software systems for startups and enterprises. Since 2009 it has grown from a small group of passionate engineers and business...
Internet of @ThingsExpo, taking place October 31 - November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA, is co-located with 21st Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. The Internet of Things (IoT) is the most profound change in personal and enterprise IT since the creation of the Worldwide Web more than 20 years ago. All major researchers estimate there will be tens of billions devic...