Trillion Energy International Inc. has completed a debt settlement transaction involving the issuance of 2,237,082 common shares to settle $101,854.10 in outstanding obligations. The shares will be subject to a four-month and one-day hold period in compliance with Canadian securities laws. This strategic financial move allows the company to manage its corporate financial commitments while preserving valuable cash resources for ongoing operations and development projects.
The settlement arrangement includes 573,002 shares issued to an officer for management services, which is categorized as a related-party transaction under Multilateral Instrument 61-101. The company has utilized available exemptions from formal valuation and minority shareholder approval requirements, as the insider participation remains below 25% of its market capitalization. This approach demonstrates the company's commitment to regulatory compliance while efficiently managing its financial obligations.
Trillion Energy, which focuses on oil and natural gas production in Europe and Türkiye, holds significant interests in key energy assets. The company maintains a 49% interest in the SASB natural gas field located in the Black Sea and a 19.6% interest in the Cendere oil field. These strategic holdings position the company for potential growth in the European energy market as demand for natural gas and oil continues to evolve.
The share issuance represents a common practice among publicly traded companies seeking to balance debt reduction with operational funding requirements. By converting debt obligations into equity, Trillion Energy strengthens its balance sheet while maintaining liquidity for ongoing exploration and production activities. This financial strategy provides the company with increased flexibility to pursue development opportunities in its existing assets while managing corporate financial health during a period of global energy market transitions.
