News

Pine Cliff Energy Ltd. (TSX: PNE) ("Pine Cliff" or the "Company") has completed its semi-annual borrowing base review and has entered into a Restated Credit Agreement with its banking syndicate of Canadian Financial Institutions (the "Syndicate").

In the first quarter of 2019, Pine Cliff generated its highest adjusted funds flow and revenue since the second quarter of 2017. Additionally, Pine Cliff brought its first oil well on production and subsequent to March 31, 2019, announced a strategic acquisition and financing that will significantly increase growth opportunities in the Pekisko oil pool where the Company's first well was drilled.

‍

The Acquisition will have an effective date of October 1, 2018 and is expected to close on or around May 31, 2019 (the Closing Date ).   The purchase and sale agreement related to the Acquisition, although binding between the parties, is subject to various standard conditions, including rights of first refusal and regulatory approvals.   No assurances can be given that the Acquisition will be completed as proposed or at all.  

Pine Cliff s natural gas market diversification strategy was successful in generating positive adjusted funds flow in 2018, despite enduring the lowest AECO gas prices in 19 years.

Pine Cliff s Board of Directors has approved a 2019 capital budget of $10.0 million that will be funded from adjusted funds flow.

Third Quarter 2018 Highlights

‍

SECOND QUARTER 2018 HIGHLIGHTS

‍

The Company has entered into an Amended and Restated Credit Agreement with the Syndicate for an $11.0 million revolving credit facility, consisting of a $6.0 million revolving syndicated facility and a $5.0 million revolving operating facility (the Credit Facility ).

At May 31, 2018, Pine Cliff has $12.2 million drawn pursuant to the Credit Facility.