Prairie Provident Resources Enters CCAA Proceedings

CALGARY, Alberta, Oct. 26, 2026 /CourierPR/ -- Prairie Provident Resources Inc., a company listed on the Toronto Stock Exchange under the ticker symbol PPR, has entered into creditor-led proceedings under the Companies' Creditors Arrangement Act (Canada) (CCAA). The Prudential Insurance Company of America and Prudential Legacy Insurance Company of New Jersey, the company's senior secured lenders, have filed an application with the Court of King's Bench of Alberta for an initial order initiating these proceedings. The hearing is scheduled for October 27, 2026, at 10:00 a.m. (Calgary time).

The application is part of a broader review of strategic alternatives undertaken by the company's directors and management over the past several months. The company was in breach of certain financial covenants as of June 30, 2026, under the agreements governing its first lien loan with Prudential and outstanding second lien notes held by certain of Prudential's affiliates. No waivers or similar accommodations were granted, and Prudential has had a continuing right to demand immediate repayment of all amounts owed. Despite ongoing discussions, the company and Prudential were unable to reach agreement on a transaction or out-of-court restructuring.

If granted, the initial order will appoint Alvarez & Marsal Canada Inc. as monitor of Prairie Provident, with enhanced powers that include broad authority to manage and operate the company's business, control its bank accounts and cash management, conduct a sales and investment solicitation process, and exercise any rights that the company may have. The initial order would provide for a stay of any proceedings against the company or affecting its business or property until November 6, 2026, or such later date as the court may order.

The company anticipates that the trading halt of its common shares on the Toronto Stock Exchange will remain in effect pending delisting of the common shares by the exchange. As a result of the creditor proceedings, the company will likely not file or otherwise release its interim financial statements and MD&A for the period ended September 30, 2026.

The company's common shares are expected to be halted from trading on the Toronto Stock Exchange before market open on October 27, 2026. If the initial order is granted, the trading halt will remain in effect pending delisting of the common shares by the exchange. The company will continue to operate in the ordinary course during the CCAA proceedings under the monitor's direction, and current employees and consultants will remain in their roles.

The company has been engaged in discussions with Prudential, the holders of the outstanding second lien notes and preferred shares of Prairie Provident, and a significant majority of the company's common shares to explore alternatives. These discussions were part of a broader review of strategic alternatives, during which the company actively explored prospective transaction opportunities to address its capital structure generally, including a consensual out-of-court restructuring of the company's indebtedness.