CALGARY, AB / ACCESSWIRE / June 14, 2024 / Southern Energy Corp. ("Southern" or the "Company") (TSXV:SOU)(AIM:SOUC)(OTCQX:SOUTF) announces it has received an extraordinary resolution from the holders (the "Debentureholders") of its outstanding convertible unsecured subordinated debentures (the "Debentures") approving certain amendments to the debenture indenture entered into between the Company and Computershare Trust Company of Canada (the "Trustee") dated June 14, 2019, as amended by a first supplemental indenture dated June 30, 2021, to: (a) extend the maturity date of the Debentures by one year to June 30, 2025; and (b) increase the interest on the Debentures from 8.00% to 10.00% per annum commencing on June 30, 2024 (together, the "Debenture Amendments").

Pursuant to receipt of the extraordinary resolution from the Debentureholders, Southern will enter into a second supplemental indenture (the "Second Supplemental Indenture") with the Trustee to effect the Debenture Amendments on or prior to June 30, 2024. As at the date hereof, the Company has 4,286 Debentures outstanding at face value of C$1,000 each.

As a condition of the Debentureholders' approval of the Debenture Amendments, the Company will issue a total of 1,863,478 common share purchase warrants (the "Warrants") to the Debentureholders for no additional consideration, with each Warrant entitling the Debentureholder to purchase one common share of the Company at a price of C$0.25 for a period of 12 months from the date of issuance. The Warrants, and any common shares issued upon the exercise of the Warrants, will be subject to a statutory four month and one day hold period from the date of issuance.

The completion of the Debenture Amendments and the issuance of the Warrants remain subject to final acceptance of the TSX Venture Exchange (the "TSXV").

A copy of the Second Supplemental Indenture will be filed under the Company's profile on SEDAR+ at www.sedarplus.ca.

For further information about Southern, please visit our website at www.southernenergycorp.com or contact:

About Southern Energy Corp.
Southern Energy Corp. is a natural gas exploration and production company characterized by a stable, low-decline production base, a significant low-risk drilling inventory and strategic access to premium commodity pricing in North America. Southern has a primary focus on acquiring and developing conventional natural gas and light oil resources in the southeast Gulf States of Mississippi, Louisiana, and East Texas. Our management team has a long and successful history working together and have created significant shareholder value through accretive acquisitions, optimization of existing oil and natural gas fields and the utilization of re-development strategies utilizing horizontal drilling and multi-staged fracture completion techniques.