Viking Energy Reduces Debt by Another ~ $2.43 Million

Rhea-AI Summary

Viking Energy Group announced a significant debt reduction of approximately $10.24 million in just over 90 days. From August 4 to September 30, 2020, the company decreased its overall debt by $2,430,831.18, with $1,691,831.18 coming from scheduled principal payments and $739,000 from debt conversion to common stock, totaling 6,015,956 shares issued. This reduction follows an earlier announcement of $7,808,661 in debt reduction on August 3, 2020, showcasing Viking's commitment to enhancing its financial stability.

Positive

• Total debt reduction of ~$10.24 million in 90 days.
• Scheduled principal payments contributed ~$1.69 million to debt reduction.
• Debt conversion allowed for issuance of 6,015,956 common shares.

Negative

• None.

Total Debt Reduction of ~ $10.24 Million in Just Over 90 Days

HOUSTON, TX / ACCESSWIRE / October 1, 2020 / Viking Energy Group, Inc. (OTCQB:VKIN) ("Viking" or the "Company") is pleased to announce that between August 4, 2020 and September 30, 2020, the Company reduced its overall debt by approximately $2,430,831.18.

Approximately $1,691,831.18 of such reduction was on account of scheduled principal payments made on or about August 31st and September 30th by Viking's subsidiaries under senior secured credit facilities, using cash on hand in the applicable subsidiary. Details regarding the senior credit facilities to which Viking's subsidiaries are party were included in Viking's Annual Report on Form 10-K filed on March 30, 2020, for the year ended December 31, 2019, which is available under "Investors - SEC Filings" at www.vikingenergygroup.com.

Approximately $739,000 of the reduction was achieved via the conversion of all or a portion of amounts owing by the Company to a certain stakeholder into common stock in the capital of Viking. Viking issued 6,015,956 common shares in connection with the debt conversion.

The above is in addition to the ~ $7,808,661 debt reduction announced by the Company on August 3rd, 2020. The details of such news release are available under "News & Media" at www.vikingenergygroup.com.

About Viking:

Viking is an independent exploration and production company focused on the acquisition and development of oil and natural gas properties in the Gulf Coast and Mid-Continent region. The company owns oil and gas leases in Texas, Louisiana, Mississippi, and Kansas. Viking targets undervalued assets with realistic appreciation potential.

Forward-Looking Statements:

This press release may contain forward-looking information within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and any statements that are not historical facts contained in this press release are "forward-looking statements" as that term is defined under the Private Securities Litigation Reform Act of 1995 ("PSLRA"), which statements may be identified by words such as "expects," "plans," "projects," "will," "may," "anticipates," "believes," "should," "intends," "estimates," and other words of similar meaning. Such forward-looking statements are based on current expectations, involve known and unknown risks, a reliance on third parties for information, transactions that may be canceled, and other factors that may cause our actual results, performance or achievements, or developments in our industry, to differ materially from the anticipated results, performance or achievements expressed or implied by such forward-looking statements. Factors that could cause actual results to differ materially from anticipated results include risks and uncertainties related to the fluctuation of global economic conditions or economic conditions with respect to the oil and gas industry, the performance of management, actions of government regulators, vendors, and suppliers, our cash flows and ability to obtain financing, competition, general economic conditions and other factors that are detailed in our filings with the Securities and Exchange Commission ("SEC"), including our Annual Report on Form 10-K for the year ending December 31, 2019, and our Quarterly Reports on Form 10-Q and Form 10-Q/A for the quarters ending March 31, 2020 and June 30, 2020, respectively. We intend that all forward-looking statements be subject to the safe-harbor provisions of the PSLRA.

Contact Information:
Investors and Media
Tel. 281.404.4387 (ext.5)
IR@vikingenergygroup.com

SOURCE: Viking Energy Group, Inc.

View source version on accesswire.com:
https://www.accesswire.com/608527/Viking-Energy-Reduces-Debt-by-Another-243-Million

FAQ

What recent financial achievement did Viking Energy Group (VKIN) announce on October 1, 2020?

On October 1, 2020, Viking Energy Group announced a total debt reduction of approximately $10.24 million within a 90-day period.

How much debt did Viking Energy reduce between August 4 and September 30, 2020?

Viking Energy reduced its debt by approximately $2,430,831.18 during this period.

What portion of Viking Energy's debt reduction was achieved through scheduled payments?

Approximately $1,691,831.18 of the debt reduction was achieved through scheduled principal payments.

How many common shares did Viking Energy issue in connection with its debt conversion?

Viking Energy issued 6,015,956 common shares as part of the debt conversion process.

What was the total debt reduction Viking Energy had announced earlier on August 3, 2020?

Viking Energy previously announced a debt reduction of approximately $7,808,661 on August 3, 2020.