NOT GOOD AT ALL !! Western Plains Bank Demands Loan Re-Payment
Calgary, Alberta CANADA, Aug 14, 2013 (Filing Services Canada via COMTEX) -- Western Plains Petroleum Ltd. (WPP - TSX Venture), ("Western Plains" or the "Company") announces that its lender, Western Canadian Bank (the "Bank"), has made demand upon the Company for payment in full of its outstanding indebtedness in the aggregate amount of approximately $1.7 million plus accrued interest, costs and fees, and in conjunction therewith has provided Western Plains with a Notice of Intention to Enforce Security pursuant to subsection 244(1) of the Bankruptcy and Insolvency Act (Canada) ("BIA"). The Company is currently in discussions with the Bank in respect of the foregoing and will provide further disclosure once a decision has been reached with the Bank. There has been no change to management or the board of directors since this demand has been made by the Bank. The Company has been advised that trading will remain halted due to the timing of the Bank's decision.
Notwithstanding such discussions, the Bank reserves the right to (i) immediate enforcement of its security over Western Plain's property and assets pursuant to subsection 244(2) of the BIA, and (ii) the immediate disposition of any or all collateral subject to the Bank's security immediately or otherwise as it may determine in its sole discretion, without notice as required by the Personal Property Security Act (Alberta).
About Western Plains Petroleum Ltd.
Western Plains is a Lloydminster, Alberta, based junior heavy oil producer with interests located in the Lloydminster area in both Saskatchewan and Alberta.
For more information, please contact:
David Forrest
President and Chief Executive Officer
Telephone: (780) 205- 4468
E-mail: dforrest@westpp.ca
Western Plains Petroleum Ltd.
#202, 5004 - 18 Street
Lloydminster, AB T9V 1V4
www.westernplainspetroleum.com.
Telephone: (780) 871-0725
Fax: (780) 808 - 8038