CALGARY, ALBERTA–(Marketwired – June 28, 2016) – Point Loma Resources Ltd. (“Point Loma“) and Madalena Energy Inc. (TSX VENTURE:MVN) (OTCQX:MDLNF) (“Madalena“) are pleased to announce that, further to their joint news release dated May 17, 2016, First Mountain Exploration Inc. (“First Mountain“), Point Loma Energy Ltd. and Madalena have completed the transactions in which: (i) Point Loma Energy Ltd. has acquired Madalena’s non-core Canadian petroleum and natural gas assets focused in the Paddle River area of Alberta; (ii) First Mountain has acquired all of the issued and outstanding shares of Point Loma Energy Ltd. in a reverse take-over transaction; and (iii) First Mountain has completed a 10:1 share consolidation, changed its name to “Point Loma Resources Ltd.” and reconstituted its management and board.
The resulting entity, Point Loma Resources Ltd. (formerly First Mountain), is a recapitalized, junior oil and natural gas exploration and production company and will be listed on the TSX Venture Exchange (“TSXV“), subject to final TSXV approval, with a consolidated and focused exploration and development oil play in the Paddle River area of Alberta. Point Loma’s common shares will commence trading on the TSXV under the ticker symbol “PLX” on or about July 5, 2016.
Point Loma believes its core area of the Western Canadian Sedimentary basin is currently under exploited and has significant economic potential when compared to certain resource plays in Saskatchewan and British Columbia.
Point Loma Highlights:
- 135 boe/d of production, 90% oil and liquids
- Point Loma has negotiated access to processing capacity to allow a further 750 boe/d to be tied in at favourable processing rates
- Survey work to tie-in previously suspended production is now completed with expected on stream date of August 2016 that is expected to increase production to approximately 500 boe/d (43% oil and NGLs)
- Identified future facilities work which could potentially increase total production to approximately 850 boe/d by connecting two drilled and tested wells.
- Point Loma has a large land position in the Paddle River area of Alberta of approximately 175,000 net acres
- Point Loma’s new management team will focus on additional acquisitions and drilling to further grow Point Loma
- New experienced board of directors
Point Loma is also pleased to announce that Randall Boyd has joined the company as VP Finance and CFO. Mr. Boyd is a professional accountant with over 30 years of senior management experience with various public and private Oil and Gas Companies. Scott Alanen has resigned as Point Loma’s VP Finance and CFO. Point Loma wishes to thank Mr. Alanen for his significant contributions in assisting Point Loma through its private company phase and the transaction to go public.
For further details, please see the news release dated May 17, 2016 and the filing statement dated June 23, 2016, a copies of which are available under First Mountain’s profile on the System for Electronic Document Analysis and Retrieval (“SEDAR“) website at www.sedar.com and on Point Loma’s website at www.pointloma.ca.
About Point Loma
Point Loma is a public oil and gas exploration and development company focusing on conventional oil and gas reservoirs in Central Alberta. Point Loma will utilize its experience to acquire, drill and develop assets with potential for horizontal multi-stage frac technology and exploit opportunities for secondary recovery.