NYSEAM:BQI - Post by User
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Canonballon Feb 22, 2012 9:03am
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Post# 19565553
Some small hope...
Some small hope... With this new offer ...maybe some small hope BQI can get trading again by summer...any thoughts out there or was everyone moved on?
Oilsands Quest Receives Court Approval of Financing and CCAA Extension; Receives New Higher Bid for Non-Core Eagles Nest Asset
17 Feb 2012 - ACQUIREMEDIA
NYSE Amex: BQI
CALGARY, Feb. 17, 2012 /CNW/ - Oilsands Quest Inc. (NYSE Amex: BQI) ("Oilsands Quest," or "the Company") has received Court approval of its previously-announced DIP financing and its request to extend creditor protection. Court approval of the announced sale of the Company's Eagles Nest asset has been delayed, because a second party has come forward with a substantially higher offer for the asset.
The Alberta Court of Queen's Bench (the "Court") approved Oilsands Quest's debtor-in-possession ("DIP") financing of CDN$3.75 million, to fund ongoing operating costs and other expenses while the Company is under creditor protection. Advances under the DIP facility are now available to the Company.
Oilsands Quest also requested and obtained an extension of the order providing creditor protection under the Companies' Creditors Arrangement Act (Canada) ("CCAA"), which was to expire February 17, 2012. Creditor protection under the CCAA will now expire May 18, 2012, unless further extended as required and approved by the Court.
Oilsands Quest previously stated that it would request Court approval for the sale of its Eagles Nest property to an unrelated third party for CDN$4.4 million. However, on February 15, 2012, the Company received an additional offer to purchase the Eagles Nest property from another third party. Under this new offer, the buyer would pay CDN$6 million for the asset, with a non-refundable deposit of CDN$400,000. In light of the late offer, the Court delayed its decision on the asset sale until February 22, 2012, to allow time for the new offer to be evaluated fully and for any additional prospective bidders to come forward.
Oilsands Quest continues to operate under the protection of CCAA with the assistance of a Court-appointed monitor. The Company's common shares remain suspended from trading until either a delisting occurs or until the NYSE permits the resumption of trading.