REG - Southern Energy Corp - PAYMENT OF INTEREST IN-KIND

Southern EnergyAnnouncement

25/06/2024 07:00

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RNS Number : 7462T  Southern Energy Corp.  25 June 2024

 

SOUTHERN ENERGY CORP. ANNOUNCES

PAYMENT OF INTEREST IN-KIND TO ITS 8% CONVERTIBLE UNSECURED

SUBORDINATED DEBENTURES

 

Calgary, Alberta - June 25, 2024 - Southern Energy Corp. ("Southern" or the
"Company") (TSXV: SOU) (AIM:SOUC) (OTCQX:SOUTF) announces that the Company
intends to issue 745,391 common shares of Southern (the "Common Shares") to
holders of its 8% convertible unsecured subordinated debentures issued on June
14, 2019 and January 15, 2021 (collectively, the "Debentures") as payment in
kind of accrued interest on the Debentures due on June 30, 2024 in the
aggregate amount of CAD$171,440.00 (the "Interest Payment"). The number of
Common Shares to be issued is equal to the amount of the interest, divided by
the volume weighted average trading price per Common Share for the 20
consecutive trading days ending on the fifth trading day preceding June 30,
2024, being $0.23 per Common Share. Southern gave notice to Computershare
Trust Company of Canada, as debenture trustee, that it intends to exercise its
right to make the Interest Payment by issuing common shares. The settlement of
the Interest Payment through the issuance of Common Shares remains subject to
final acceptance of the TSX Venture Exchange.

 

Director/PDMR Participation

 

It is noted that a certain Director and PDMR of the Company holds Convertible
Debentures, on the same terms as all other participants, and, accordingly, in
aggregate, 9,044 Common Shares will be issued. Further details regarding
individual participation of the Company's Director and PDMR is set out in the
PDMR notification forms below.

 

Admission and Total Voting Rights

 

The new Common Shares issued in respect of the Interest Payment will be
credited as fully paid, rank pari passu in all respects with the existing
Common Shares, and are expected to be admitted to trading on AIM on or around
8.00 a.m. (GMT) on or around 2 July 2024 ("Admission").

 

Following Admission, the total number of Common Shares in the Company in issue
will be 167,242,824, and this figure may be used by shareholders as the
denominator for the calculations by which they will determine if they are
required to notify their interest in, or a change to their interest in, the
Company.

 

For further information about Southern, please visit our website at
www.southernenergycorp.com or contact:

 

            Southern Energy Corp.

            Ian Atkinson (President &
CEO)
+1 587 287 5401

            Calvin Yau
(CFO)
+1 587 287 5402

 

Strand Hanson Limited - Nominated & Financial Adviser

James Spinney / James Bellman / Rob
Patrick                              +44 (0) 20
7409 3494

 

Stifel Nicolaus Europe Limited - Joint Broker

Callum Stewart / Ashton
Clanfield
+44 (0) 20 7710 7600

 

Tennyson Securities - Joint Broker

Peter Krens / Pav
Sanghera
+44 (0) 20 7186 9033

 

Camarco

Owen Roberts / Billy Clegg / Hugo
Liddy
+44 (0) 20 3757 4980

About Southern Energy Corp.

Southern Energy Corp. is a natural gas exploration and production company
characterized by a stable, low-decline production base, a significant low-risk
drilling inventory and strategic access to premium commodity pricing in North
America. Southern has a primary focus on acquiring and developing conventional
natural gas and light oil resources in the southeast Gulf States of
Mississippi, Louisiana, and East Texas. Our management team has a long and
successful history working together and have created significant shareholder
value through accretive acquisitions, optimization of existing oil and natural
gas fields and the utilization of re-development strategies utilizing
horizontal drilling and multi-staged fracture completion techniques.

READER ADVISORY

Forward Looking Statements.  Certain information included in this press
release constitutes forward-looking information under applicable securities
legislation. Forward-looking information typically contains statements with
words such as "anticipate", "believe", "expect", "plan", "intend", "estimate",
"propose", "project" or similar words suggesting future outcomes or statements
regarding an outlook. The forward-looking statements contained in this press
release are based on certain key expectations and assumptions made by
Southern. Although Southern believes that the expectations and assumptions on
which the forward-looking statements are based are reasonable, undue reliance
should not be placed on the forward-looking statements because Southern can
give no assurance that they will prove to be correct. Since forward-looking
statements address future events and conditions, by their very nature they
involve inherent risks and uncertainties. Actual results could differ
materially from those currently anticipated due to a number of factors and
risks. These include, but are not limited to: risks associated with the oil
and gas industry in general (e.g., operational risks in development,
exploration and production, the uncertainty of reserve estimates, the
uncertainty of estimates and projections relating to production, costs and
expenses, regulatory risks, and health, safety and environmental risks); the
uncertainty of reserve estimates; the uncertainty of estimates and projections
relating to production, costs and expenses, and health, safety and
environmental risks; the impact of pandemics; constraint in the availability
of labour, supplies or services; commodity price and exchange rate
fluctuations; geo-political risks, political and economic instability abroad
and wars (including the Russo-Ukrainian war and the Israel-Palestinian
conflict); changes in legislation impacting the oil and gas industry;
inflationary risks, including potential increases to operating and capital
costs; adverse weather or break-up conditions; and uncertainties resulting
from potential delays or changes in plans with respect to exploration or
development projects or capital expenditures. The Russo-Ukrainian war and the
Israel-Palestinian conflict are particularly noteworthy, as these conflicts
have the potential to disrupt the global supply of oil and gas, and their full
impact remains uncertain. Other risks faced by the Company are set out in more
detail in Southern's Annual Information Form for the year ended December 31,
2023 and the Company's most recent management discussion and analysis, copies
of which are available under the Company's SEDAR+ profile at www.sedarplus.ca
(https://url.avanan.click/v2/___http:/www.sedarplus.ca___.YXAzOnNvdXRoZXJuZW5lcmd5Y29ycDphOm86ZDk2NTRjNjRjZmFmODhhMzAwMTZlNTVlYjM2MTU1OGY6Njo4NTkxOjE3NzRkNGE1NTljOTFhZDNhOGFlMzBlYzkyMTkwMDY0NTRlYWIyNjAyMWJlOTRlMDY0OTZhZDdkNTAzNzU2Nzk6cDpU)
. The forward-looking information contained in this press release is made as
of the date hereof and Southern undertakes no obligation to update publicly or
revise any forward-looking information, whether as a result of new
information, future events or otherwise, unless required by applicable
securities laws. The forward-looking information contained in this press
release is expressly qualified by this cautionary statement.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that
term is defined in the policies of the TSX Venture Exchange) accepts
responsibility for the adequacy or accuracy of this release.

 

 

 

 

 

 

PDMR NOTIFICATION FORM

 

 1   Details of the person discharging managerial responsibilities / person closely
     associated
 a)  Name                                                         Neil Smith
 2   Reason for the notification
 a)  Position/status                                              Non-Executive Director
 b)  Initial notification /Amendment                              Initial notification
 3   Details of the issuer, emission allowance market participant, auction
     platform, auctioneer or auction monitor
 a)  Name                                                         Southern Energy Corp.
 b)  LEI                                                          213800R25GL7J3EBJ698
 4   Details of the transaction(s): section to be repeated for (i) each type of
     instrument; (ii) each type of transaction; (iii) each date; and (iv) each
     place where transactions have been conducted
 a)  Description of the financial instrument, type of instrument  Common shares in Southern Energy Corp.

                                                                  Warrants to purchase common shares in Southern Energy Corp.

     Identification code                                          CA8428131059

 b)  Nature of the transaction                                    Issuance of new common shares. Issuance of warrants to purchase new common
                                                                  shares pursuant to the amendments announced on 14 June 2024 and subject to
                                                                  TSXV approval
 c)  Price(s) and volume(s)                                       9,044 common shares at a price of CAD$0.23

                                                                  22,609 warrants at a price of CAD$0.25

 d)  Aggregated information                                       N/A

 e)  Date of the transaction                                      25 June 2024
 f)  Place of the transaction                                     Outside of a trading venue

 

 

 

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