CALGARY, Alberta, Feb. 06, 2018 (GLOBE NEWSWIRE) — Toscana Energy Income Corporation (“Toscana Energy” or the “Company”) (TSX:TEI) is pleased to announce that it has entered into a Purchase and Sale Agreement to sell a portion of its non-core, non-operated natural gas weighted assets in West Central Alberta (the “Assets”) to a private company for total cash consideration of $4.75 million subject to normal industry conditions. These assets have current net production of approximately 200 boe/d (75% gas). Proceeds of this sale will be initially utilized to reduce the Company’s outstanding credit facilities and then redirected towards expanding its large light oil in place assets. The disposition of the Assets is expected to close on or before the end of February, 2018. Together with this sale, Toscana Energy will have executed on an aggregate of $10.4 million of non-core property sales in the preceding twelve months, to not only reduce debt but also to improve the overall quality of its asset portfolio. Following the closing of the disposition of the Assets, the Corporation is expected have approximately $10 million available on its credit facilities.
About Toscana Energy Income Corporation
Toscana Energy is a conventional oil and gas producer with the mandate to acquire high quality, long life oil and gas assets including royalties, non-operated working interests and unitized production for yield and capital appreciation. Toscana Energy is managed by Sprott Toscana through Toscana Energy Corporation. Sprott Toscana is a member of the Sprott Group of Companies.
For further information, please visit our website at www.sprott-toscana.com or contact: