Nexera Announces Private Placement of Debentures to Establish Commercial Well Plugging Business

Nexera Energy Inc. (TSX Venture: NGY, OTC:EMBYF) (the “Corporation”, the “Company” or “Nexera”) today reported that the Corporation is proposing a non-brokered private placement offering of up to $650,000 of convertible unsecured debentures (the “Debentures”) of the Corporation (the “Offering”)).

The details of the Debentures are as follows: (i) the Debentures will mature on the date that is two (2) years from the date of issuance (if not otherwise converted or prepaid) (the “Maturity Date”); (ii) the Debentures will bear interest at a rate of 12% per annum, calculated and paid quarterly in arrears; (iii) upon maturity or redemption of each Debenture, the Corporation will pay any outstanding principal and any accrued and unpaid interest in cash; (iv) each Debenture may be redeemed early by the Corporation, at its option; (v) the Debentures shall be convertible (only the principal amount and not the interest) at the option of the subscriber into units of the Corporation (“Units”) at a conversion rate of $0.025 per Unit in the first year and $0.10 per Unit thereafter and prior to the Maturity Date or redemption by the Corporation. Each Unit consists of one Common Share of the Corporation and one common share purchase warrant (each whole warrant, a “Warrant”) of the Corporation. Each whole Warrant shall entitle the holder thereof to acquire one additional Common Share at a price of $0.10 per Common Share on or prior to the Maturity Date; and (vi) If the holder proposes to convert the outstanding principal into Units (which is triggered at the option of the holder or redemption by the Corporation, both prior to the Maturity Date), the Corporation shall have the option to: (a) issue the Units at the conversion price to the holder; or (b) return the principal amount and accrued interest in cash to the holder plus an amount equal to 10% of the principal amount.

100% of the net proceeds of the Offering will be utilized within the Corporation’s wholly owned subsidiary, Production Resources Inc. (“PRI”), to pursue a growing oil and gas services opportunity. PRI is proposing to take advantage of its already owned equipment, along with using net proceeds from the Offering to acquire additional equipment and labour to pursue a cement services branch within PRI. This branch of business would pursue the plugging and abandonment of some of PRI’s own wells, along with wells owned by other operators in the South Texas region. This diversified services approach benefits both the Corporation on its own wells owned (through PRI) by not having to pay an external third party to assist with the plugging and abandoning our own wells (saving the Corporation up to $12,000 per well) while at the same time allowing for additional revenues to be potentially generated by assisting other operators in the area with the plugging and abandonment of their wells (of which management of the Corporation believes there to be a high demand for in the area).

Specifically, the Corporation anticipates using 100% of the net proceeds as follows: (i) equipment purchases – $170,000; (ii) equipment refurbishing – $110,000; (iii) field testing – $120,000; (iv) permitting and commercialization – $85,000; (v) labour – $100,000; and (vi) any balance leftover would go to working capital purposes. No amounts/0% of the net proceeds shall be paid to: (i) Non-Arm’s Length Parties of 2 Nexera; and (ii) Persons conducting Investor Relations Activities, as defined in the TSX Venture Exchange policies.

All of the securities issued pursuant to the private placement are subject to a four-month hold period. The Debentures and the Warrants will not be listed on any stock exchange. Completion of this Offering remains subject to the final approval of the TSX Venture Exchange.

ABOUT NEXERA ENERGY INC.
Nexera Energy Inc. (TSX Venture:NGY) is an energy company with oil producing properties in Southwest Texas. Nexera is owner and operator of the Lavernia, Wooden Horse and Stockdale Horizon Projects. The Company also owns 100% of Production Resources Inc., a South Texas oil company.

For further information, please contact:
Nexera Energy Inc. President, Shelby D. Beattie, (403) 262-6000, info@nexeraenergy.com, www.nexeraenergy.com.