TORONTO, ONTARIO--(Marketwired - Apr 17, 2014) - The company (TSX VENTURE:PET) is pleased to report that it has negotiated, subject to regulatory approval, a loan to the company of $250,000 on the following terms: payable in one year, with 12.0% annual interest, payable earlier at the option of the company without notice or bonus, secured against all the assets of the company. An agent's fee of 9% of the funds raised and broker warrants totaling 10% of the funds raised divided by $0.05 per share is to be paid. Each broker warrant allows the holder to acquire one common share of PET at a price of $0.05 up to 24 months following the Closing Date.
The funds will be used to settle the cash payments to insiders of the company disclosed in the company's news release of March 24, 2014, in which insiders exchanged $614,301 of debt for a total cash payment of $70,220 plus 2,000,000 shares. The balance of the funds will be used for working capital.
Peat Resources Limited was formed to explore, develop and produce peat fuel - a sustainable bioenergy resource. The company is active in Ontario and Newfoundland. The company has developed an environmentally acceptable harvesting and processing system to supply consistent quality peat fuel in long-term (+ 20 year) contracts to utilities and other industrial operations for heat and power generation. The Company is also investigating development of value-added biocarbon derivatives from peat pellets such as activated carbon for which there is growing demand in many industrial and domestic applications.
Forward-Looking Information
This release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address future production, reserve potential, exploration drilling, exploitation activities and events or developments that the Company expects are forward-looking statements. Although the Company believes the expectations expressed in such statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the statements. There are certain factors that could cause actual results to differ materially from those in forward-looking statements. These include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements. For more information on the Company, investors should review registered filings at www.sedar.com.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accept responsibility for the adequacy or accuracy of this release.