Vancouver, British Columbia – July 4, 2023. G2 Energy Corp. (CSE:GTOO, FWB:UD9) (the "Company" or "G2") announces today pursuant to its news release dated June 23, 2023, it has issued an aggregate amount of 7,496,045 units (the “Debt Settlement Units) at a deemed price of $0.05 per Debt Settlement Unit to satisfy an aggregate amount of $374,802.25 of bona fide debt to certain creditors (the “Creditors”) of the Company (the “Debt Settlements”).
Each Debt Settlement Unit is comprised of one common share (each, a “Debt Settlement Unit Share”) and one common share purchase warrant (each, a "Debt Settlement Warrant"), whereby each Debt Settlement Warrant entitles the holder to purchase one additional share in the capital of the Company (the “Shares”) for a period of twenty-four (24) months from closing at an exercise price of $0.08 per Share, subject to an acceleration clause whereby if the closing price of the Company’s common shares is greater than $0.12 for a period of 10 consecutive trading days on the stock Canadian Securities Exchange (subject to adjustment for subdivisions, consolidations, and similar events), then the Company may, in its sole discretion, elect to provide written notice (the “Acceleration Notice”) to the Holder of the Warrants that the Warrants will expire at 5:00 p.m.(Vancouver time) on the date that is 60 days from the date of the Acceleration Notice (the “Accelerated Expiry Time”). In such instances, all Warrants that are not exercised prior to the Accelerated Expiry Time will expire at the Accelerated Expiry Time.
As Creditors to the Debt Settlements, John Costigan, Markus Mair, David Whitby, Slawomir Smulewicz and Gabriel Queiroz were issued either directly or indirectly and aggregate of 4,468,447 Units to settle an aggregate amount of approximately $223,422 in bona fide debt of the Issuer. Participation of insiders of the Company in the Debt Settlements will constitute a related party transaction as defined under Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions (“MI 61-101”). The Company intends to rely on the exemption from the formal valuation requirements of Section 5.4 of MI 61-101 pursuant to Subsection 5.5(a) of MI 61-101 and the exemption from the minority approval requirements of Section 5.6 of MI 61-101 pursuant to Subsection 5.7(1)(a) of MI 61-101.
The securities issued pursuant to the first tranche of the Private Placement are subject to a statutory hold period of four (4) months plus one (1) day hold that expires on October 31, 2023 respectively.
On Behalf of the Board,
“Slawek Smulewicz” Slawek Smulewicz
CEO
For further information, please contact:
John Costigan VP Corporate Development
O: +1 604 620 8589
E: jcostigan@g2.energy
W: WWW.G2.ENERGY
About G2 Energy Corp.
G2 is a junior oil and gas producer listed on the CSE exchange. It's primary focus is to acquire and develop additional overlooked, low risk, high return opportunities in the oil and gas sector. G2's strategy is to obtain a portfolio of risk-managed production and development opportunities onshore, U.S.A. In May 2022, G2 acquired the Masten Unit in the Permian Basin, Texas. The Masten Unit is the Company's first producing asset. G2 is targeting top tier projects with operating netbacks and infrastructure facilities which will fast track overall oil and gas production growth.