Bonterra Oil & Gas Snaps Up Cobalt Energy

Bonterra Oil & Gas and Cobalt Energy have announced that the arrangement under the Business Corporations Act (Alberta) involving Bonterra, Bonterra Energy Corp., and Cobalt and the shareholders of Cobalt has been completed effective today.

Summary of the Cobalt Arrangement

Under the terms of the Arrangement, holders of class A common shares of Cobalt received 0.011875 of a Bonterra common share, and holders of class B common shares of Cobalt received 0.11875 of a Bonterra common share. As a result of the Arrangement, Cobalt became a wholly-owned subsidiary of Bonterra. An aggregate of 201,440 Bonterra common shares were issued to the holders of Cobalt shares.

Each of the former officers and directors of Cobalt has resigned and was replaced by a nominee of Bonterra. It is anticipated that the Cobalt class A common shares and class B common shares will be delisted from trading on the TSX Venture Exchange within three to four business days.