CALGARY, March 22, 2017 /CNW/ – Montana Exploration Corp. (“Montana” or the “Corporation“) (TSXV:MTZ) is pleased to announce that the Corporation has completed the settlement agreements (the “Settlement Agreements“) with certain of its creditors, whereby the Corporation has issued common shares of the Corporation at a deemed price of $0.195 per common share in full and final settlement of the amounts owing to such creditors (the “Shares for Debt Settlement“). Pursuant to the Settlement Agreements, the Corporation settled an aggregate of $309,957.47 in indebtedness by issuing a total of 1,589,527 common shares to creditors. Ian Page, Vice President of Exploration of the Corporation, settled $91,107.47 of debt as part of the transaction.
The common shares issued pursuant to the Shares for Debt Settlement represent 2.7% of the issued and outstanding common shares of Corporation following the completion of the transaction. All common shares issued in connection with the Shares for Debt Transaction were approved by the TSX Venture Exchange and are subject to a four-month statutory hold period, in accordance with applicable securities legislation. The board and management of the Corporation believe that the Shares for Debt Settlement is in the best interests of Montana in order to move the Corporation forward and reduce its working capital deficiency.
The Shares for Debt Settlement did not create a new control person of the Corporation.
About Montana Exploration Corp.
Montana is a Canadian junior oil and gas exploration and production company focusing on the and Shaunavon oil and Eagle gas opportunities underlying its extensive land holdings in the state of Montana. In the United States the company operates through its wholly owned subsidiary, Montana Land & Exploration, Inc. Montana’s common shares are listed on the TSX Venture Exchange under the trading symbol “MTZ”. Additional information regarding Montana is available under Montana’s profile at www.sedar.com or at Montana’s website, www.montanaexplorationcorp.com.