Pacific Exploration & Production Corporation has announced that it has changed its corporate name to Frontera Energy Corporation (the “Company” or “Frontera”) to mark the beginning of a new era for the Company. The Company’s common shares are expected to commence trading on the Toronto Stock Exchange under the new name and ticker symbol TSX:FEC at the opening of trading on Wednesday, June 14, 2017. Frontera’s vision is to build on its position as a focused, low cost, exploration and production company and to create maximum value for all stakeholders. Frontera is also committed to the health, safety and success of its employees and is dedicated to the relationships it builds with suppliers, partners, governments and the communities in which it operates.
Barry Larson, Chief Executive Officer of Frontera Energy Corporation, commented:
“Our new corporate identity reflects the significant transformation the Company has made following its restructuring, as well as a new progressive and disciplined focus that will generate success. To ensure the Company can maintain sustainable production and growth, the Board has taken steps to narrow Frontera’s geographic focus and reduce organizational scale, complexity and cost while maximizing operating and cost efficiencies. The Company has a renewed culture and deep-rooted values, with an emphasis on health, safety and environment, which have been embraced and embodied by our workforce. By staying true to the core values of Integrity, Respect, Commitment and Sustainability, Frontera is well equipped to move forward into a new era of prosperity.”
Gabriel de Alba, Chairman of the Board of Directors of Frontera Energy Corporation, commented:
“Frontera is a competitive low-cost producer and will maintain a market leadership position over the long-term by staying disciplined and margin-focused, not simply production-driven. The Company has a renewed strategic focus, positive cash flow, a strong balance sheet, significantly reduced payables, and has a Board of Directors with the unique skills and experience needed to guide management and drive value creation for all stakeholders.”
The Company’s strategic direction is driven by Frontera’s Four Pillars of Value Creation:
1. Successful Restructuring
Successful debt restructuring creates a strong balance sheet and a renewed focus on constant improvement across the organization
New Board of Directors and Management team committed to the highest standards of corporate governance with a focus on value creation and disciplined growth
2. Ongoing Turnaround
Continuing to optimize corporate structure to realize savings in G&A and OPEX
Constant effort at margin improvement, management of overhead and creating operating efficiencies
3. Production Growth and Exploration Upside
Narrowing the Company’s geographic focus, reducing organizational scale, complexity and cost
High graded activity set with focus on value, not volume
Optimizing our plan for organic production growth through exploration and development drilling in highly prospective areas
4. Unlocking Value
Divestment strategy focused on non-core low prospectivity assets to reduce future exploration commitments and improve liquidity
Capture the potential of high value infrastructure assets
Frontera’s cultural identity is built upon the Company’s core values:
INTEGRITY – Lead by example, act consistently and transparently, and maintain open and clear dialogue in all engagements
RESPECT – Value inclusion and diversity, learn from experience and value all points of view
COMMITMENT – Demonstrate accountability for decisions, work together to achieve goals, and strive for excellence through innovation, adaptation and learning
SUSTAINABILITY – Preserve and care for the well-being of employees and contractors, promote safety in all operations, promote and protect social, economic and environmental value creation, and engage positively with all stakeholders
The new name is effective immediately, and will be implemented throughout the Company for the remainder of the 2017 calendar year. The Company’s new website can be found at www.fronteraenergy.ca.
The Company has made an application to the Toronto Stock Exchange for its approval of the name change and has received conditional approval subject to the submission of the required final documentation.
No action is required to be taken by the Company’s shareholders in connection with the name change.