Cabo Drilling Corp. Announces Acquisition of Worldwide EnviroChem Corporation

NEW WESTMINSTER, BRITISH COLUMBIA--(Marketwired - Dec 10, 2014) - Cabo Drilling Corp. ("Cabo" or "the Company") (TSX VENTURE:CBE)(FRANKFURT:DHL) announces that it has entered into an agreement to acquire 100% of WorldWide EnviroChem Corporation ("WWEC"), for total consideration of $870,000. The Company will assume an existing debt owing in the amount of $125,000 and deliver 14,900,000 Cabo shares to NorthStar Capital Corporation at a deemed value of $0.05 per share, subject to TSX Venture Exchange approval.

"This is the first in a series of anticipated strategic acquisitions in the infrastructure services industry that Cabo intends to initiate. We are committed to expanding the mining services that we presently offer to the road building and concrete construction sectors," stated Mr. Versfelt, Cabo's President & CEO. "As WWEC's current activities are centralized in Panama, our transition into the immediate infrastructure opportunities in Central and South America will blend nicely with Cabo's existing operations in Panama and Colombia."

As a result of this transaction, Cabo will hold the exclusive rights to distribute the proprietary RoadMaster and BondMaster product lines used in road building and waterproofing of underground and water exposed concrete, to road contractors, precast concrete manufacturers, concrete contractors and ready-mix suppliers throughout North, Central and South America, excluding Chile, but including the Caribbean, plus Southern Africa, including South Africa, Namibia, Botswana, Zambia and Malawi.

SGC Canada Inc. negotiated the acquisition as Cabo's exclusive corporate financing advisor, and has been engaged to advise, negotiate, and assist with financing on behalf of Cabo on strategic acquisition opportunities, related financing, and recapitalization options.

Based on the repositioning of the Company's resources and additional services, Cabo announced that it is changing its name from 'Cabo Drilling Corp.' to 'Cabo Infrastructure Corp.', subject to shareholder and regulatory approval.

Cabo has also reorganized its drilling operations in Canada, thereby substantially reducing operating and maintenance costs, as well as general and administration costs. Cabo Drilling (Ontario) is now the central drilling operation for the Company, with branches in Surrey, British Columbia and Springdale, Newfoundland. In addition, earlier in the year, the Company closed its Forages Cabo division that was located in Montreal, Quebec.

Stock Options Granted

The Company announces that it has granted incentive stock options to Company directors, officers, employees, and consultants, for the right to purchase up to 2,282,500 shares of the Company at $0.10 per share, exercisable to December 31, 2016, and an additional 300,000 incentive stock options to a Company consultant, at $0.10 per share, vesting over a two year period: one-third vesting on the first anniversary date and two-thirds on the second anniversary date, exercisable to December 31, 2017. The Company has also extended the expiry date of 4,035,000 stock options, exercisable at $0.10 per share, from December 31, 2015 to December 31, 2016. The grant of options and the amendment to the term of existing options is subject to acceptance by the TSX Venture Exchange. The total number of outstanding stock options granted by the Company, at the date of this news release, is 6,617,500.

About Cabo (TSX VENTURE:CBE)

Cabo provides services to the mining industry and is expanding its operations to offer its services to the utilities, pipeline, forest products, road building, and concrete construction industries. Cabo will be providing a comprehensive range of infrastructure products and services, as well as engineered construction solutions globally for customers in a diverse cross-section of industries that are located in selected world markets. Cabo currently has operations in six countries. Further information about Cabo can be found in the disclosure documents filed by Cabo with the securities regulatory authorities, available at www.sedar.com and on the Company website at www.cabo.ca. The Company's common shares trade on the Frankfurt Exchange under the symbol: DHL and on the TSX Venture Exchange under the symbol: CBE.

About SGC Canada Inc.

SGC Canada Inc. is a private merchant banking firm which invests in publicly listed Canadian based companies that are, or can be, positioned for immediate financial growth. As an active shareholder, and 'financial partner', SGC's participation is focused on the negotiation and financing of acquisition transactions and restructuring proposals to achieve accelerated revenue growth. Further information can be found on SGC's website at www.sgcorpfinance.com.

ON BEHALF OF THE BOARD

John A. Versfelt, Chairman, President and CEO

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release. This news release may contain forward-looking statements within the meaning of applicable securities legislation, which involve known and unknown risks, uncertainties and other factors which may cause the actual results, events, performance or achievements of Cabo or industry results, to be materially different from any future results, events, performance or achievements expressed or implied by such forward-looking statements. Forward-looking statements typically contain such words or phrases as "may", "outlook", "objective", "intend", "estimate", "anticipate", "should", "could", "would", "will", "expect", "believe", "plan" and other similar terminology suggesting future outcomes or events. Forward-looking statements reflect current expectations regarding future results, events, performance and achievements and are based on information currently available to Cabo's management, anticipated operating and financial results of Cabo, and current and anticipated market conditions.