Kulczyk Oil Ventures Inc. announces the contingent conversion of a loan by its major shareholder Kulczyk Invesments S.A. (KI).

KOV had entered into an agreement with KI for the provision of up to $12.0 million in funding to the Corporation to fund the Corporation's ongoing working capital requirements (the "KI Loan") on June 22, 2012, Under the terms of the KI Loan KI agreed to provide funding by way of the KI Loan with a term ending December 31, 2012, interest was payable at a rate of 15.0% per annum, and KOV had the right to prepay the KI Loan in whole or in part at any time.

On December 11, 2012, KOV and KI entered into an agreement to amend the KI Loan by extending the term of the KI Loan by one year to December 31, 2013 and making both interest and principal amounts owing under the KI Loan convertible into common shares of KOV ("Shares") under certain conditions or at the option of KI.

Tags: Kulczyk Oil Ventures