TSX-V: ONV
VANCOUVER, Nov. 20, 2018 /CNW/ - Oronova Energy
Inc. ("Oronova" or the "Company") (TSX.V: ONV) is pleased to report that pursuant to its agreement
with Advantage Energy Services Ltd. ("Advantage") (as announced on September 17, 2018) (the
"Advantage Agreement"), Advantage has confirmed that its affiliated company, 2136983 Alberta Ltd. ("2136983") has
entered into a joint venture and operating revenue sharing agreement dated November 17, 2018
with a third party company (the "JV Agreement") whereby 2136983 will acquire, subject to financing and director's
approval, an undivided 50% working interest in certain producing and non-producing oil and gas assets and certain oil and gas
plant and facility assets in the Province of Alberta. Pursuant to the JV Agreement, in order to acquire its undivided 50%
working interest, 2136983 must invest $4 million as an initial joint venture contribution.
Pursuant to the Advantage Agreement, the parties intend that upon closing of the transaction Oronova will acquire all of the
issued and outstanding shares of 2136983 from Advantage in exchange for 10 million common shares of the Company and that members
of the Advantage professional oil and gas team will become the officers, directors and management of Oronova. It is
intended that the acquisition by 2136983 of its initial 50% joint venture interest, and the closing of the acquisition of all of
the outstanding shares of 2136983 by the Company will occur concurrently, subject to completion of financing, approval of the TSX
Venture Exchange, negotiation of definitive documentation and receipt of any required director or shareholder approvals.
In connection with the proposed acquisition, the Company announces its intention to raise up to $6MM by way of a non-brokered
private placement of up to 30,000,000 units. Each unit will be priced at $0.20 and will
consist of one common share and one-half share purchase warrant. Each full warrant will entitle the warrant holder to
purchase one common share of the Company for two (2) years at an exercise price of $0.30 subject to
accelerated expiry in the event the Company's common shares trade at or above $0.45 for a period of
10 consecutive trading days after expiry of the four month hold period. The Company may pay a finder's fee to
qualified persons in regard to the proposed financing. Proceeds from the financing will be used to fund
acquisitions and for general working capital purposes.
On behalf of the Board of Oronova Energy Inc.
"David Farrell"
Chief Executive Officer
Cautionary Statement
Neither the TSX Venture Exchange nor its Regulation Services Provider (as such term is defined in the policies of
the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. No stock exchange, securities
commission or other regulatory authority has approved nor disapproved the information contained herein.
Forward Looking Statements
This news release contains forward looking statements relating to the future operations of the Corporation and other
statements that are not historical facts. Forward Looking Statements are often identified by terms such as "will", "may",
"should", "anticipate", "expects" and similar expressions. All statements other than statements of historical fact, included in
this release, including, without limitation, statements regarding future plans and objectives of the Corporation, are forward
looking statements that involve risk and uncertainties, There can be no assurances that such statements will prove to be accurate
and actual results and future events could differ materially from those anticipated in such statements. Important factors that
could cause actual results to differ materially from the Corporation's expectations are exploration risks detailed from time to
time in the filings made by the Corporation within the securities regulations.
The reader is cautioned that assumptions used in the preparation of any forward looking statements/information may prove to
be incorrect. Events or circumstances may cause actual results to differ materially from those predicted, as a result of numerous
known or and unknown risks, uncertainties and other factors many of which are beyond the control of the Corporation. As a result
we cannot guarantee that any forward looking statement will materialize and the reader is cautioned not to place any undue
reliance on any forward looking statements/information. Such information, although considered reasonable by management at the
time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated. Forward looking
statements contained in this News release are made as of the date of the release and the Corporation does not undertaken any
obligation to update publicly or to revise any of the included forward looking statements, whether as a result of new
information, future events or otherwise, except as expressly required by Canadian securities law.
SOURCE Oronova Energy Inc.
View original content: http://www.newswire.ca/en/releases/archive/November2018/20/c3251.html