Trillion Energy International Announces Debt Settlement Through Share Issuance
TL;DR
Trillion Energy leverages share issuance to settle debt, offering strategic advantage to stakeholders by aligning interests with company growth.
Trillion Energy issues 2,237,082 common shares to settle $101,854.10 in debt, adhering to a four-month hold period under Canadian securities laws.
Trillion Energy's debt settlement through shares fosters corporate stability, contributing to sustainable energy development in Europe and Türkiye.
Trillion Energy innovatively settles debt with shares, highlighting its commitment to growth and exploration in the oil and natural gas sectors.
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Trillion Energy International Inc. has implemented a strategic debt settlement initiative involving the issuance of common shares to address outstanding financial obligations. The company plans to settle $101,854.10 in outstanding debt by issuing 2,237,082 common shares to consultants and an officer, representing a significant step in managing corporate liabilities while preserving cash resources for ongoing operations.
The settlement arrangement includes a notable transaction involving 573,002 shares issued to an officer for management services, classified under Multilateral Instrument 61-101 as a related-party transaction. Trillion Energy is utilizing available exemptions from formal valuation and minority shareholder approval requirements, as the insider participation value does not exceed 25% of the company's market capitalization. This approach demonstrates compliance with Canadian securities regulations while efficiently addressing financial obligations.
All shares issued through this settlement are subject to a standard hold period of four months and one day, ensuring proper market integration and regulatory compliance. The debt settlement strategy reflects Trillion Energy's commitment to maintaining financial stability while continuing its focus on oil and natural gas production for European and Turkish markets. The company maintains significant interests in key energy assets, including a 49% stake in the SASB natural gas field and a 19.6% interest in the Cendere oil field.
This financial maneuver represents a proactive approach to debt management that could serve as a model for similar energy companies facing financial challenges. By converting debt obligations to equity through share issuance, Trillion Energy preserves operational capital while strengthening its balance sheet. The settlement underscores the company's strategic positioning in the European energy market, particularly given current market dynamics and energy supply considerations affecting the region.
Curated from InvestorBrandNetwork (IBN)
