BNP Resources Inc. V.BNX.A

BNP - Letter to Shareholders - June 2017

[BNPResources]

The purpose of this monthly letter is to bring BNP shareholders up to date, on issues and news, since the last letter.

1. The following is a summary of activities over the past month:

1. The formal loan application documents, were completed last month. The final paperwork and outstanding CV’s were provided to our agent last week. The loan application and supporting documents are with the finance company. We have applied for a debt financing package of $160 million in US funds, the majority of which would be allocated for a 2,000 barrel per day acquisition and development program.

2. Oil prices are holding steady in the $46.33 US range for WTI crude. Gasoline prices haven’t been this seasonally low since 2005. Very good price levels at which to negotiate an oil production acquisition.

3. I had discussions with our agent during the past week. He now has $2.1 Billion in projects that he is seeking debt financing for. This puts him in a good negotiating position with the finance companies. Each of these projects is constructible, well managed, and has positive economics.

2. I’ll be continuing to work on business development plans, for the purchase of existing businesses, with cash flow and earnings. Once preliminary opportunities are identified, I will continue to investigate financing alternatives. 

I would like to take this opportunity to wish our shareholders a very happy Canada Day on July 1st. For those of you in the USA, I would like wish you a Happy Independence Day, on the 4^th of July.