CALGARY, AB – Tamarack Valley Energy Ltd. (“Tamarack” or the “Company“) (TSX: TVE) is pleased to announce the execution of a definitive agreement with Woodcote Petroleum Inc. (“Woodcote“) pursuant to which the Company will acquire all of the issued and outstanding shares of Woodcote, a private company with a 100% operated working interest in Greater Nipisi (the “Acquisition“) for aggregate consideration of $43.0 million, comprised of $32.0 million in cash, subject to adjustment, and 4,888,889 common shares of Tamarack.
Concurrent with the execution of the definitive agreement, the shareholders of Woodcote executed letters of transmittal irrevocably accepting Tamarack’s offer and tendering their shares in connection with the Acquisition. The definitive agreement provides for, among other things, a non-solicitation covenant on the part of Woodcote.
The Acquisition is expected to close on or about March 25, 2021, subject to certain regulatory and other approvals, including the approval of the Toronto Stock Exchange, and the satisfaction or waiver of customary closing conditions.
Additional details regarding the Acquisition are available in the Company’s press release dated March 5, 2021.
About Tamarack Valley Energy Ltd.
Tamarack is an oil and gas exploration and production company committed to long-term growth and the identification, evaluation and operation of resource plays in the Western Canadian Sedimentary Basin. Tamarack’s strategic direction is focused on two key principles: (i) targeting repeatable and relatively predictable plays that provide long-life reserves; and (ii) using a rigorous, proven modeling process to carefully manage risk and identify opportunities. The Company has an extensive inventory of low-risk, oil development drilling locations focused primarily in the Cardium, Clearwater and Viking fairways in Alberta that are economic over a range of oil and natural gas prices. With this type of portfolio and an experienced and committed management team, Tamarack intends to continue delivering on its strategy to maximize shareholder returns while managing its balance sheet.