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Bankruptcy Sale: OAN Resources Ltd.

January 13, 2020 7:48 AM
Alan Tambosso

On October 13, 2019, Hardie & Kelly Inc. (the “Trustee”) was appointed as the Trustee of the bankrupt estate of OAN Resources Ltd. (“OAN” or the “Company”).  The Trustee has engaged Sayer Energy Advisors to assist it with a sale for cash of all of OAN’s oil and natural gas property.

The Company’s only asset is its Keg River oil play in the Panny area of northern Alberta (the “Property”).

Recent production net to OAN from Panny is approximately 38 barrels of light oil per day from the Keg River Formation.

As of January 4, 2020, the OAN had net deemed asset value of $1,904,809 (deemed assets of $2,624,767 and deemed liabilities of $719,958) with an LMR of 3.65.

The Trustee has instructed that interested parties must provide a marked-up copy of the purchase and sale agreement (the “PSA”) accompanying any offers submitted for the Property.  A copy of the PSA will be available for review to parties which execute a confidentiality agreement.  The Trustee has also provided a Sale Solicitation Process document (the “SSP”) outlining the details of the bankruptcy sale.  All offers received at the bid deadline will be reviewed by the Trustee and the most acceptable offer may be accepted by the Trustee, subject to Court approval.

More specific information is available at www.sayeradvisors.com.  A package of more detailed confidential information will be sent to any party executing a Confidentiality Agreement.

Offers relating to this divestiture will be accepted until 12:00 pm on Thursday, February 13, 2020.

For further information please feel free to contact: Tom Pavic, Ben Rye, Grazina Palmer or Alan Tambosso at 403.266.6133.

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