Southern Pacific Resource Corp. (TSX:STP) announced the conclusion of its strategic review process. In March 2014, as part of the strategic review process, the company completed the addition of a new first lien debt facility, replacing the then existing facility which improved Southern Pacific's current liquidity.

The consideration of other strategic alternatives aimed at maximizing stakeholder value was also fully explored. During the strategic review process, proposals were received and the strategic review process was extended longer than expected in order to fully explore the proposals. However, it was determined by the company's Board of Directors that none of the proposals received were acceptable and it was further concluded that the current best alternative for all stakeholders is to continue with the development of the company's existing assets, initially focused on increasing production rates at STP-McKay.

With the strategic process concluded, Southern Pacific has reduced its number of employees to reflect a narrower focus but will be staffed appropriately to continue its base of operations and near-term development. The immediate development plan will be to continue with walkovers aimed at improving productivity from the SAGD well pairs at STP-McKay.