Tri-Valley Corporation Reaches Definitive Agreement to Sell Its Admiral Calder Quarry in Alaska
All Cash Transaction Strengthens Capital Structure by
Approximately $1.5 Million
Tri-Valley Corporation (NYSE Amex:TIV) today announced a definitive
agreement with Columbia River Carbonates for the sale of its Admiral
Calder calcium carbonate quarry located on Prince of Wales Island in
Alaska. The total purchase price was $2.5 million, structured in an
all-cash transaction. Closing is expected by the end of the year.
Tri-Valley anticipates it will net $1.5 million in cash proceeds from
the proposed transaction and expects to generate a gain on the sale of
$1.4 million.
'The proceeds from the sale of our Admiral Calder property and
retirement of $1.0 million in related debt significantly strengthen our
Company′s capital structure,? stated Mr. Maston N. Cunningham, President
and CEO of Tri-Valley Corporation. 'With this transaction, the recent
sale of Series A convertible preferred stock to our Chairman (resulting
in $3.6 million in additional equity), and the issuance of additional
shares under the shelf registration that we announced on November 3rd,
we believe we are close to complying with the shareholders′ equity
required to maintain our listing on the NYSE Amex.?
'This important milestone for Tri-Valley is the first step in the
execution of our previously-announced strategy to monetize our mineral
assets in Alaska,? continued Mr. Cunningham. 'We continue to seek a
strong operational partner with financial resources to assist us in the
development of our Shorty Creek gold prospect in Alaska. Our operational
focus remains on driving oil production at our Pleasant Valley oil sands
project in Oxnard and the Claflin oil project near Bakersfield,
California. We believe these efforts will result in enhanced valuation
for our shareholders as we demonstrate growth in revenue from oil
production and the ability to generate cash from operations.?
C. K. Cooper & Company acted as financial advisor to the Company in the
transaction.
About Tri-Valley
Tri-Valley Corporation explores for and produces oil and natural gas in
California, and has two exploration-stage gold properties in Alaska.
Tri-Valley is incorporated in Delaware and is publicly traded on the
NYSE Amex exchange under the symbol 'TIV.' Our Company website, which
includes all SEC filings, is www.tri-valleycorp.com.
Forward-looking Statements
This press release contains forward-looking statements that involve
risks and uncertainties. Actual results, events, and performance could
vary materially from those contemplated by these forward-looking
statements which include such words and phrases as exploratory, wildcat,
prospect, speculates, unproved, prospective, very large, expect,
potential, etc. Among the factors that could cause actual results,
events, and performance to differ materially are risks and uncertainties
discussed in 'Item IA. Risk Factors' and 'Item 7. Management's
Discussion and Analysis of Financial Condition and Results of
Operations' contained in the Company's Annual Report on Form 10-K for
the year ended December 31, 2009, and in 'Item 2. Management's
Discussion and Analysis of Financial Condition and Results of
Operations' as disclosed in the Company′s Quarterly Report on Form 10-Q
for the most recent quarter ended September 30, 2010.
Company Contact:
Tri-Valley Corporation
John
Durbin, 661-864-0500
jdurbin@tri-valleycorp.com
or
Investor
Contacts:
EVC Group, Inc.
Doug Sherk, 415-896-6820
dsherk@evcgroup.com
Jenifer
Kirtland, 415-896-6820
jkirtland@evcgroup.com
or
Media
Contact:
EVC Group, Inc.
Chris Gale, 646-201-5431
cgale@evcgroup.com
