Trillion Energy International has successfully negotiated debt restructuring terms with its convertible debentureholders, demonstrating strategic financial management in the challenging energy market. The approved amendments include extending the maturity date of 12.0% convertible debentures and implementing an innovative debt settlement strategy.
Under the new agreement, the debenture maturity date has been prolonged from April 30, 2025, to July 31, 2025, providing the company additional time to manage its financial obligations. To address $899,940 in accrued interest, Trillion Energy will issue 27,270,910 common shares at $0.033 per share, effectively converting debt into equity.
The restructuring also includes an $85,000 extension fee to be paid in shares, further aligning the interests of debentureholders with the company's financial strategy. Additionally, Trillion Energy plans to issue 1,735,000 shares to settle $57,255 of consultant debt, showcasing a comprehensive approach to managing outstanding financial commitments.
These financial maneuvers are particularly significant for Trillion Energy, which focuses on oil and natural gas production in Europe and Türkiye. With a 49% interest in the SASB natural gas field in the Black Sea and a 19.6% stake in the Cendere oil field, the company's debt restructuring could provide crucial breathing room for continued exploration and development activities.
The proposed share issuances are subject to regulatory approvals, underscoring the company's commitment to maintaining compliance and transparency in its financial restructuring efforts. By converting debt to equity and extending maturity dates, Trillion Energy demonstrates a proactive approach to managing its financial portfolio in a complex and volatile energy market.
