Business
Mystique Energy Obtains CCAA Protection
Mystique Energy Obtains CCAA Protection.
About this update from Abrasilver Resource Corp.
[{"type":"text","content":"\n\n\n\nCALGARY, April 25 /CNW/ - Mystique Energy, Inc. ("Mystique") (TSXV: MYS)\nannounces that, after careful consideration of all available alternatives,\nMystique's Board of Directors has determined that it is in the best interests\nof all of its stakeholders to seek creditor protection under the Companies'\nCreditors Arrangement Act (Canada) ("CCAA"), and has obtained such protection\npursuant to an Order from the Alberta Court of Queen's Bench (the "Court").\n\n\nRecently, Mystique has been hampered by market and financial challenges.\nCCAA protection will stay creditors and others from enforcing rights against\nMystique and affords Mystique the opportunity to restructure its financial\naffairs. While under CCAA protection, Mystique will continue with its\nday-to-day operations.\n\n\nThe Court has granted CCAA protection for an initial period of 30 days,\nexpiring May 24, 2007, to be extended thereafter as the Court deems\nappropriate. Mystique will issue a further press release on or before May 24,\n2007 to provide an update.\n\n\nThree of the independent directors of Mystique, Mr. Verne Johnson, Mr.\nMike Shaikh and Mr. Terry McCoy have resigned. Mr. Brent Walter will remain as\nan independent director. Vic Luhowy, President and Chief Executive Officer and\nAlex Tworo, Vice President, Exploration also remain as directors. Nick\nAntonenko remains as Vice President, Production Operations.\n\n\nWhile under CCAA protection, management of Mystique will remain\nresponsible for the day-to-day operations, under the supervision of a Court\nappointed monitor, Ernst & Young Inc., who will be responsible for monitoring\nMystique's ongoing operations, assisting with the development and filing of\nthe Plan, liaising with creditors and other stakeholders and reporting to the\nCourt. Management will also be responsible for formulating the Plan for\nrestructuring Mystique's financial affairs.\n\n\nThe Plan is the proposed compromise that, in due course, Mystique intends\nto present to its stakeholders affected by the Plan. This Plan will describe\nhow Mystique proposes to restructure its affairs and may include, but not\nlimited to, offers to creditors of a percentage of the total amount owing.\nThose stakeholders affected by the Plan will have an opportunity to vote upon\nthe offer proposed in the Plan....