Shoal Point Energy: Consent Orders Agreed to in Litigation with Newfoundland

Rhea-AI Summary

Shoal Point Energy (CSE: SHP) has reached three consent orders with His Majesty in Right of Newfoundland and Labrador (HMK) in their ongoing litigation. The orders include: 1) A settlement on security costs where Shoal Point must pay $5,450 by June 6, 2025, and an additional $2,000 after pre-trial procedures; 2) Both parties must file and serve their List of Documents within 105 days of Shoal Point's initial security payment; 3) Assignment of the lawsuit to case management under Rule 18A, with a judge to be appointed. CEO Mark Jarvis views these orders as a significant step forward in seeking justice, enabling document and oral discovery to proceed under judicial supervision.

Positive

• Case management assignment should expedite the legal proceedings
• Agreement on document submission timeline provides clear path forward
• Settlement of security costs dispute removes a procedural obstacle

Negative

• Company must pay $7,450 in total security costs
• Extended timeline of 105 days for document submission could delay resolution
• Ongoing litigation continues to consume company resources

News Market Reaction

+40.40%

1 alert

+40.40% News Effect

On the day this news was published, SHPNF gained 40.40%, reflecting a significant positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

Vancouver, British Columbia--(Newsfile Corp. - May 29, 2025) - Mark Jarvis, CEO of Shoal Point Energy Ltd. (CSE: SHP) ("Shoal Point"), announced today that three consent orders between Shoal Point Energy Ltd. and His Majesty in Right of Newfoundland and Labrador ("HMK") have been agreed to and are being filed with the court.

The first consent order settles a dispute regarding security for costs. Among other provisions, Shoal Point shall pay security for costs in the amount of $5,450 on or before June 6, 2025, and the amount of $2,000 upon the completion of all pre-trial procedures up to and including attendance at a pre-trial conference.

The second consent order compels HMK to file and serve its List of Documents pursuant to Rule 32 of the Rules of the Supreme Court within 105 days of Shoal Point paying the security for costs of $5,450, and for Shoal Point to file and serve its amended List of Documents by the same date.

The third consent order assigns the lawsuit to case management, which shall be conducted in accordance with Rule 18A. A case management judge shall be appointed in accordance with Rules 18A.04(1)(c) and 18A.04(2).

The complete consent orders will be posted to Shoal Point's website (www.shoalpointenergy.com) once they have been processed by the Court and signed by a judge.

"The successful negotiation of these consent orders is an important step in our attempts to seek justice," said Mr. Jarvis. "It allows the process of document and oral discovery to begin. Case management under the supervision of a judge should allow matters to proceed more expeditiously than to date."

About Shoal Point Energy Ltd.

Shoal Point Energy Ltd. is a public company listed on the CSE exchange under the symbol "SHP". The company is suing the government of Newfoundland and Labrador for at least $483,000,000 for "de facto expropriation" or "constructive taking" of its rights to develop its oil and gas interests in western Newfoundland.

For further information, please contact:
Mr. Mark Jarvis, Chief Executive Officer
Tel - 604-681-2300

The Canadian Securities Exchange (CSE) has neither approved nor disapproved the contents of this news release.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/253886

FAQ

What are the three consent orders agreed between Shoal Point Energy (SHPNF) and Newfoundland?

The three orders cover: 1) Security costs payment of $5,450 by June 6, 2025, plus $2,000 after pre-trial; 2) Both parties must file Documents within 105 days of initial payment; 3) Assignment to case management under Rule 18A with judicial supervision.

How much will Shoal Point Energy (SHPNF) pay in security costs?

Shoal Point Energy will pay a total of $7,450 in security costs - $5,450 by June 6, 2025, and an additional $2,000 after completion of pre-trial procedures.

What is the timeline for document submission in the Shoal Point Energy litigation?

Both Shoal Point Energy and HMK must file and serve their List of Documents within 105 days after Shoal Point pays the initial security cost of $5,450.

What does case management mean for Shoal Point Energy's lawsuit?

Case management means the lawsuit will be supervised by an appointed judge under Rule 18A, which should help proceedings move more efficiently than before.