Perpetual Energy : Rubellite Energy Inc. provides capitalization, governance and operations update and 2022 guidance

CALGARY - Rubellite Energy Inc. ('Rubellite' or the 'Company'), a pure play Clearwater oil exploration and development company, is pleased to provide a capitalization, governance and operations update and release 2022 guidance following the completion on September 3, 2021 of the plan of arrangement involving Perpetual Energy Inc., Rubellite and the shareholders of Perpetual.

Capitalization Update

The common shares ('Common Shares') and warrants ('Warrants') of Rubellite issued in connection with the Plan of Arrangement are expected to commence trading on the Toronto Stock Exchange (the 'TSX') on or about Thursday, September 9, 2021 under the symbol 'RBY' and 'RBY.WT', respectively.

In connection with the Plan of Arrangement, Rubellite expects to raise a minimum of $73.9 million through a combination of equity financings expected to close concurrently in early October 2021 (the 'Financings'). Upon completion of the Financings and based on the minimum $10.5 million non-brokered private placement, Rubellite is expected to have approximately 39.0 million Common Shares outstanding, no debt and a working capital surplus of approximately $13 million. If the maximum $20.0 million non-brokered private placement is completed, Rubellite will have approximately 43.8 million Common Shares outstanding and a working capital surplus of approximately $22.5 million.

Rubellite has entered into a commitment with its lead bank to establish a new $3 million revolving credit facility (subject to the closing of the Financings and other customary conditions precedent) with an initial term to May 31, 2022 and which may be extended for a further twelve months subject to lender approval.

Governance Update

Rubellite's Board of Directors (the 'Board') has been fully constituted and is comprised of a majority of independent directors, each of whom is unique from Perpetual's board, establishing a strong and diverse governance model and clear shareholder and management alignment.

The majority-independent Board, as described below, has extensive technical and managerial experience in oil and gas exploration and development, with strengths in mergers and acquisitions, corporate finance, capital markets and environmental, social and governance (ESG) matters. In addition to Sue Riddell Rose, Rubellite's President and Chief Executive Officer, and Ryan Shay, Rubellite's Vice President Finance and Chief Financial Officer, the Board is comprised of the following non-executive independent members:

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