Trillion Energy International Inc. (CSE: TCF) (OTCQB: TRLEF) has announced a debt settlement plan that involves issuing 2,237,082 common shares to settle $101,854.10 in outstanding debt with consultants and an officer. This initiative is in line with Canadian securities laws, with the issued shares being subject to a four-month and one-day hold period. A significant portion of this settlement, 573,002 shares, is allocated to an officer for management services, marking it as a 'related-party transaction' under Multilateral Instrument 61-101. The company is utilizing exemptions from the formal valuation and minority shareholder approval requirements, as the transaction's value does not exceed 25% of the company's market capitalization.
This strategic financial decision by Trillion Energy underscores its dedication to ensuring operational and financial stability amidst the challenges of debt management. With significant interests in natural gas and oil fields, including a 49% stake in the SASB natural gas field and a 19.6% interest in the Cendere oil field, the company is focused on oil and natural gas production for Europe and Türkiye. The debt settlement through share issuance represents a proactive financial strategy, potentially serving as a model for other companies facing similar financial hurdles.
