Mr. Benjamin Jones reports
CANADA ENERGY PARTNERS SIGNS NON-BINDING LETTER OF INTENT FOR THE SALE OF WATER DISPOSAL WELL
Canada Energy Partners Inc. has signed a non-binding letter of intent for the sale of its Portage a-20-D water disposal well in northeast British Columbia to an arm's-length undisclosed buyer, for $1.05-million, with $450,000 cash at closing and a $600,000 note bearing 5 per cent interest, payable in equal monthly payments over 18 months. The disposal rights to three sections of land are included in the sale. The company retains the disposal rights to 45 sections. The company cannot drill another disposal well on its 45 sections for three years from the date of closing.
The sale is subject to execution of a definitive binding agreement, TSX Venture Exchange acceptance, an acceptable injection test on the well and other standard environmental and operational due diligence. Closing is to occur prior to Aug. 27, 2018, unless extended due to regulatory delays.
We seek Safe Harbor.
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