Razor Energy Corp.
Climate Impact & Sustainability Data (2023-01 to 2023-09, 2023-09)
Reporting Period: 2023-01 to 2023-09
Environmental Metrics
ESG Focus Areas
- Environmental, Social, and Governance (ESG)
Climate Goals & Targets
Environmental Challenges
- Working capital deficit of $53.6 million and contractual obligations of $68.1 million due in less than one year.
- Defaults with certain non-financial covenants under the Arena Second Amended and Restated Term Loan regarding minimum production requirement and failure to deliver the Deposit Account Control Agreement.
- Cross covenant default on certain equipment loans and leases.
- Material uncertainties that create significant doubt with respect to the Company’s ability to continue as a going concern.
Mitigation Strategies
- Debt settlement agreement with Alberta Investment Management Corp. (AIMCo).
- Rights Offering for gross proceeds of $8.0 million.
- Plans to raise additional financing through asset rationalization, share issuances, private placements, debt restructuring, property sales, and increased production.
Supply Chain Management
Climate-Related Risks & Opportunities
Reporting Period: 2023-09
Environmental Metrics
Climate Goals & Targets
Environmental Challenges
- Working capital deficit of $53.6 million as of September 30, 2023.
- Contractual obligations of $68.1 million due in less than one year as of September 30, 2023.
- Defaults on certain non-financial covenants under the Arena Second Amended and Restated Term Loan.
- Cross-covenant default on certain equipment loans and leases.
Mitigation Strategies
- Debt settlement agreement with Alberta Investment Management Corp. (AIMCo).
- Rights offering for gross proceeds of $8.0 million.
- Reliance on support from lenders, suppliers, and other providers.
- Plans to raise additional financing through asset rationalization, share issuances, private placements, debt restructuring, property sales, and increased production.