TSX-V: HME
VANCOUVER, Feb. 1, 2018 /CNW/ - Hemisphere Energy Corporation
(TSX-V: HME) ("Hemisphere" or the "Company") is pleased to announce an increase to its term loan and subsequent development plans
for the first quarter of 2018.
Term Loan
Hemisphere has amended its credit agreement with its third-party lender in order to increase the commitment amount available
to Hemisphere on its multi-draw, non-revolving term loan facility (the "Term Loan") by US$5.0
million, bringing the aggregate amount committed by the lender under the Term Loan to US$20.0
million. The Term Loan has a maximum aggregate principal commitment amount of up to US$35.0
million with a maturity date of September 15, 2022.
2018 Plans
During the first quarter of 2018, Hemisphere is continuing the momentum built from its successful fall drilling program to
further develop its Atlee Buffalo oil assets. With the recent addition of a centralized oil
facility to separate and re-inject produced water in the Upper Mannville G pool, the Company plans to drill three additional
wells including one producer and two injectors. The producing well will be drilled into the thickest part of the pool in an area
with recently added injection, and the two water injectors will provide pressure maintenance for a substantial drilling program
of producers in the future.
Investor Relations
Hemisphere is participating in the World Outlook Financial Conference being held at the Westin Bayshore in Vancouver, British Columbia on February 2 and 3, 2018. Mr. Don Simmons, President and Chief Executive Officer, will be making a presentation on the Company at the VIP
breakfast being held on February 3. For further information, including the conference agenda, please visit www.moneytalks.net/events/world-outlook-conference-2018. A copy of the Company's presentation will be
available on the Company's website at www.hemisphereenergy.ca.
About Hemisphere Energy Corporation
Hemisphere Energy Corporation is a producing oil and gas company focused on developing conventional oil assets with low risk
drilling opportunities. Hemisphere plans continual growth in production, reserves, and cash flow by focusing on existing assets
with significant growth potential and executing strategic acquisitions. Hemisphere trades on the TSX Venture Exchange as a
Tier 1 issuer under the symbol "HME".
Forward-looking Statements
This news release contains "forward-looking statements" that are based on Hemisphere's current expectations, estimates,
forecasts and projections. The words "estimates", "projects", "expects", "intends", "believes", "plans", or their negatives or
other comparable words and phrases are intended to identify forward-looking statements and include statements regarding
Hemisphere's plans for its first quarter 2018 development drilling program and the timing thereof; the operational developments
anticipated to result from the planned drilling program and other expectations, intentions, and plans that are not historical
fact.
Forward‐looking statements are based on a number of material factors, expectations, or assumptions of Hemisphere which have
been used to develop such statements and information but which may prove to be incorrect. Although Hemisphere believes that the
expectations reflected in such forward‐looking statements or information are reasonable, undue reliance should not be placed on
forward‐looking statements because Hemisphere can give no assurance that such expectations will prove to be correct. In addition
to other factors and assumptions which may be identified herein, assumptions have been made regarding, among other things: that
Hemisphere will continue to conduct its operations in a manner consistent with past operations; results from drilling and
development activities are consistent with past operations; the quality of the reservoirs in which Hemisphere operates and
continued performance from existing wells; the continued and timely development of infrastructure in areas of new production; the
accuracy of the estimates of Hemisphere's reserve volumes; certain commodity price and other cost assumptions; continued
availability of debt and equity financing and cash flow to fund Hemisphere's current and future plans and expenditures; the
impact of increasing competition; the general stability of the economic and political environment in which Hemisphere operates;
the general continuance of current industry conditions; the timely receipt of any required regulatory approvals; the ability of
Hemisphere to obtain qualified staff, equipment and services in a timely and cost efficient manner; drilling results; the ability
of the operator of the projects in which Hemisphere has an interest in to operate the field in a safe, efficient and effective
manner; field production rates and decline rates; the ability to replace and expand oil and natural gas reserves through
acquisition, development and exploration; the timing and cost of pipeline, storage and facility construction and expansion and
the ability of Hemisphere to secure adequate product transportation; future commodity prices; currency, exchange and interest
rates; regulatory framework regarding royalties, taxes and environmental matters in the jurisdictions in which Hemisphere
operates; and the ability of Hemisphere to successfully market its oil and natural gas products.
The forward‐looking information and statements included in this news release are not guarantees of future performance and
should not be unduly relied upon. Such information and statements, including the assumptions made in respect thereof, involve
known and unknown risks, uncertainties and other factors that may cause actual results or events to defer materially from those
anticipated in such forward‐looking information or statements including, without limitation: changes in commodity prices; changes
in the demand for or supply of Hemisphere's products, the early stage of development of some of the evaluated areas and zones;
unanticipated operating results or production declines; changes in tax or environmental laws, royalty rates or other regulatory
matters; changes in development plans of Hemisphere or by third party operators of Hemisphere's properties, increased debt levels
or debt service requirements; inaccurate estimation of Hemisphere's oil and gas reserve volumes; limited, unfavourable or a lack
of access to capital
markets; increased costs; a lack of adequate insurance coverage; the impact of competitors; and certain other risks
detailed from time‐to‐time in Hemisphere's public disclosure documents, (including, without limitation, those risks identified in
this news release and in Hemisphere's Annual Information Form).
The forward‐looking information and statements contained in this news release speak only as of the date of this news
release, and Hemisphere does not assume any obligation to publicly update or revise any of the included forward‐looking
statements or information, whether as a result of new information, future events or otherwise, except as may be required by
applicable securities laws.
Definitions and Abbreviations
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies
of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.
SOURCE Hemisphere Energy Corporation
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