TORC Oil & Gas Ltd. (TORC) and Vero Energy Inc. (Vero) announced that they have closed the plan of arrangement, whereby Vero and TORC have been combined to create a new light oil resource company called TORC Oil & Gas Ltd. (New TORC). The TORC management team is led by Brett Herman as President & Chief Executive Officer, Jason Zabinsky as VP Finance and Chief Financial Officer, Eric Strachan as VP Exploration, Jeremy Wallis as VP Land, Mike Wihak as VP Operations and Filippo Angelini as VP and Controller. The TORC board of directors is comprised of John Brussa, Raymond Chan (Chairman), Bruce Chernoff, Brett Herman, Dave Johnson, Dale Shwed, and Hank Swartout. James Pasieka will act as corporate secretary.

New TORC also re-affirmed production guidance for fiscal year 2012. For the period, New TORC reported that it is on track to achieve its previously announced 2012 exit guidance of 3,900 BOE/d (75% light oil and NGLs) with a strong balance sheet of $40 million of net positive working capital.

The Board of Directors of New TORC also provided production guidance for fiscal year 2013. New TORC has approved a capital budget of $125 million for 2013. Capital expenditures will be primarily focused on Cardium development combined with continued delineation of the Monarch asset to move this emerging resource play towards the production growth phase. Based on the approved capital budget, New TORC anticipated production to average 4,250 BOE/d (more than 75% light oil and NGLs) with an exit rate of over 4,900 BOE/d (more than 75% light oil and NGLs).