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CALGARY, ALBERTA--(Marketwired - May 27, 2015) - Toro Oil & Gas Ltd. (TSX VENTURE:TOO) ("Toro" or the "Company") is pleased to announce it has entered into a binding letter agreement (the "Agreement") with Source Rock Royalties Ltd. ("Source Rock"), a private company, for a non-dilutive financing, which inclusive of a $4 million acquisition fund, total $16 million. In exchange for $12 million in cash proceeds, Toro commits to provide Source Rock with Viking light oil production volumes as a royalty (a "PVR"). Additionally, Source Rock will establish an acquisition fund of $4 million for the purpose of strategic acquisitions by Toro within the Viking light oil fairway (the "Acquisition Fund"). The $12 million PVR (the "Total PVR") is allocated into two separate components: |
