Twin Butte Energy Ltd. announced that it has entered into an agreement with its senior lenders pursuant to which such lenders have consented to the Company entering into an amending agreement to its arrangement agreement with Reignwood Resources Holding Pte. Ltd. (Purchaser) on August 9, 2016 and waived the event of default under the Company's credit agreement announced on August 9, 2016 related to the entering into of such amending agreement without prior lender consent. Such lenders have also agreed to continue to forbear from exercising their rights and remedies for certain other prior defaults under Twin Butte's credit agreement, provided that the Company's previously announced plan of arrangement (Arrangement) in respect of the Company and its securityholders and involving the Purchaser and Reignwood Resources Trading UK Limited, closes by September 26, 2016. The continuation of such forbearance is conditional upon, among other things, the deposit by the Purchaser, in escrow, of $5 million by September 8, 2016, in the event that securityholder and court approval for the Arrangement has been received on or before certain dates. The escrowed amount will be used to fund the aggregate consideration payable by the Purchaser pursuant to the Arrangement.