Business
Mystique Energy Accepts Offer to Purchase Assets
Mystique Energy Accepts Offer to Purchase Assets.
About this update from Abrasilver Resource Corp.
[{"type":"text","content":"\n\n\n\nCALGARY, June 6 /CNW/ - Mystique Energy, Inc. ("Mystique") (TSXV: MYS)\nannounces that it has accepted an offer from a Calgary based petroleum company\nto purchase all of Mystique's oil and gas assets and tax pools for gross\nproceeds of 19.2 million dollars. The effective date of the purchase is June\n1, 2006. Closing of the transaction is anticipated to occur during the first\nweek of July, 2007. Net proceeds from the sale of the assets will be used to\neliminate Mystique's debt to its primary lender and other secured creditors.\nThe remaining proceeds will be used to pay down the debt owed to unsecured\ncreditors.\n\n\nThe Alberta Court of Queen's Bench (the "Court") had provided Mystique\ncreditor protection under the Companies' Creditors Arrangement Act (Canada)\n("CCAA") on April 24th, 2007. The order granting CCAA protection expires on\nJuly 17th, 2007.\n\n\nIn addition to closing the transaction and completing the claims process\nunder the CCAA process, Mystique will be preparing a plan of arrangement\nwhereby all or substantially all of the remaining proceeds of the asset sale\nwill be distributed to the unsecured creditors on a pro rata basis. The plan\nof arrangement must be approved by the Court. It is unlikely that there will\nbe any remaining value to be allocated to shareholders.\n\n\nThis transaction is the conclusion of a process in which Mystique engaged\nGMP Securities LP to seek strategic alternatives for Mystique.\n\n\nDisclaimers\n\n\nCertain information regarding Mystique in this news release including\nmanagement's assessment of future plans and operations and the timing thereof,\nmay constitute forward-looking statements under applicable securities laws and\nmay necessarily involve risks including, without limitation, risks associated\nwith oil and gas exploration, development, exploitation, production, marketing\nand transportation, loss of markets, volatility of commodity prices, currency\nfluctuations, imprecision of reserve estimates, environmental risks,\ncompetition from other producers, inability to retain services, delays\nresulting from or inability to obtain required regulatory approvals, the\nability to access sufficient capital from internal and external sources and\nthe uncertainty involved in Court proceedings and the implementation of the\nPlan under t...