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Petrodorado Energy Announces Signing of Non-Binding Letter of Intent
Not for Distribution to U.S. News Wire Services or Dissemination in the United States CA...
About this update from Rok Resources, Inc. Class B
[{"type":"text","content":"Petrodorado Energy Announces Signing of Non-Binding Letter of IntentNot for Distribution to U.S. News Wire Services or Dissemination in the United StatesCALGARY, AB / ACCESSWIRE / October 8, 2019 / Petrodorado Energy Ltd. (\"Petrodorado\" or the \"Company\") (TSXV: PDQ) announces that it has entered into a non-binding letter of intent (the \"LOI\") dated October 8, 2019 with an arm's length private Saskatchewan oil and gas company (the \"Private Company\") for the purchase of all of the issued and outstanding shares of the Private Company for consideration consisting of the issuance of up to 20 million shares in the capital of Petrodorado. Pursuant to the LOI, Petrodorado will become the owner of the Private Company and obtain access to its business, as more particularly described below. It is expected that a nominee of the Private Company will become both the Chief Executive Officer of Petrodorado and also join its board of directors. The existing three directors of Petrodorado, Chris Reid, Peter Yates and Dave Hergenhein, will remain as directors of Petrodorado. The Company has also entered into an agreement whereby upon consummation of the transaction the former Chief Executive Officer will receive a portion of his severance entitlement in common shares in the capital of the Company at a price of $0.05 per share, subject to the approval of the TSX Venture Exchange (\"TSXV\").The consummation of the transaction contemplated by the LOI will require the approval of the TSXV as it is expected to be a \"fundamental acquisition\" pursuant to the applicable policies of the TSXV and is subject to the company resulting from the transaction meeting the continued listing requirements of the TSXV. The transaction is not a reverse take-over and does not constitute a change of control of Petrodorado. No finders fees are being paid in connection with the transaction. The consummation of the transaction is subject to the parties being satisfied with its due diligence investigation into the business and affairs of the other and the entering into of a definitive agreement by no later than October 31, 2019 with respect to the transaction.The Private Company holds interest in certain undeveloped land located in Saskatchewan on which it wishes to conduct petroleum and natural gas exploratory work. This land is located in an area where the managem...