CALGARY, Aug. 21, 2014 /PRNewswire/ - PENN WEST PETROLEUM
LTD. (TSX – PWT; NYSE – PWE) ("PENN WEST", the
"COMPANY", "we", "us" or "our")
announces that, further to its August 12,
2014 announcement, it has now obtained waivers from the
holders of its senior unsecured notes (the "Notes") of
certain defaults under the Notes arising from matters relating to
the decision to restate certain historical financial results and
the delay in filing the Company's second quarter 2014 interim
filings. Such defaults do not relate to any of the financial
tests under the Notes respecting the Company's financial condition.
Subject to certain conditions, the waivers have the effect of
extending the cure period for such defaults until October 14, 2014 and allowing for the defaults to
be cured by delivery of the restated historical and second quarter
financial statements. Upon the curing of the defaults, the
Notes will remain in place on their existing terms.
These waivers, together with the waiver previously obtained from
the Company's lenders under its bank facility announced in the
Company's news release of August 12,
2014, provide the Company with certainty with respect to its
lending agreements during this period and maintain the existing
terms of the Notes and the bank facility thereafter.
Forward-Looking Statements
Certain statements contained in this document
constitute forward-looking statements or information (collectively
"forward-looking statements") within the meaning of the "safe
harbour" provisions of applicable securities legislation. In
particular, this document contains forward-looking statements
pertaining to, without limitation: our belief that we will be able
to cure the defaults under the Notes prior to October 14, 2014 and that as a result the Notes
will remain in place on their original material terms; and our
belief that the waivers received from the Company's lenders and
noteholders will result in the existing material terms of the Notes
and the Company's bank facility remaining in place following the
cure period. With respect to forward-looking statements
contained in this document, we have made assumptions regarding,
among other things: the amount of time it will take us and our
third party advisors to complete our internal review and prepare
and have audited or reviewed, as applicable, the restated
historical financial statements, second quarter 2014 financial
reports, and all related disclosures; and that the final results of
the internal review will not be substantially different than the
preliminary results of the review. Although we believe that
the expectations reflected in the forward-looking statements
contained in this document, and the assumptions on which such
forward-looking statements are made, are reasonable, there can be
no assurance that such expectations will prove to be correct.
Readers are cautioned not to place undue reliance on
forward-looking statements included in this document. By their
nature, forward-looking statements involve numerous assumptions,
known and unknown risks and uncertainties that contribute to the
possibility that the forward-looking statements contained herein
will not be correct, which may cause our actual performance or
results in future periods to differ materially from any estimates
of future performance or results expressed or implied by such
forward-looking statements. These risks and uncertainties include,
among other things: that we do not file our second quarter 2014
continuous disclosure documents and/or restated historical
financial statements and related disclosures by October 14, 2014 or otherwise fail to satisfy the
conditions of the waivers provided by our lenders and noteholders
in respect of the defaults under our bank facility and Notes, with
the result that we are unable to cure the defaults in the Notes and
our bank facility within the cure periods; and that the final
results of the review uncover accounting errors not identified in
the preliminary results of the review and/or that the magnitude of
the accounting errors is significantly different than currently
expected, any of which may adversely impact the timing of
completing the review. Readers are cautioned that this list of risk
factors should not be construed as exhaustive. The
forward-looking statements contained in this document speak only as
of the date of this document. Except as expressly required by
applicable securities laws, we do not undertake any obligation to
publicly update any forward-looking statements. The
forward-looking statements contained in this document are expressly
qualified by this cautionary statement.
About Penn West
Penn West is one of the largest conventional oil and natural gas
producers in Canada. Our goal is
to be the company that redefines oil & gas excellence in
western Canada. Based in
Calgary, Alberta, Penn West
operates a significant portfolio of opportunities with a dominant
position in light oil in Canada on
a land base encompassing approximately five million acres.
Penn West shares are listed on the Toronto Stock Exchange under
the symbol PWT and on the New York Stock Exchange under the symbol
PWE.
SOURCE Penn West