Twin Butte Energy announces private placement
CALGARY, July 2, 2014 /CNW/ - Twin Butte Energy Ltd. (TSX: TBE) ("Twin Butte") is pleased to announce that it intends to sell by way of private placement up to 1,817,500 common shares at a price of $1.80 per common share (representing the VWAP of the common shares on the TSX for the five trading days ended June 30, 2014) to officers, directors and employees of Twin Butte for total gross proceeds of up to $3.3 million (the "Offering").
Twin Butte will use the proceeds of the Offering for general corporate purposes. The Offering is subject to customary regulatory approvals and is expected to close on or about July 8, 2014.
About Twin Butte
Twin Butte Energy Ltd. is a dividend paying value oriented intermediate producer with a significant low risk, high rate of return drilling inventory focused on large original oil and gas in place play types. Twin Butte is well positioned to provide shareholders with a sustainable dividend with moderate growth potential over both the short and long term. Twin Butte is committed to continually enhance its asset quality while focusing on the sustainability of its dividend. The common shares of Twin Butte are listed on the TSX under the symbol "TBE".
The securities offered have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act"), or any U.S. state securities laws and may not be offered or sold in the United States absent registration or an available exemption from the registration requirement of the U.S. Securities Act and applicable U.S. state securities laws. This news release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities, in any jurisdiction in which such offer, solicitation or sale would be unlawful.
Forward-Looking Statement Advisory
Certain information in this news release contains forward-looking statements including the expected closing date of the Offering and the use of proceeds of the Offering. These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond Twin Butte's control including, without limitation, the risk that the Offering will not be completed on the terms described or at all and the risk that Twin Butte will expend the proceeds of the Offering in a manner different than that indicated. As a consequence, actual results may differ materially from those anticipated in the forward-looking statements. Readers are cautioned that the forgoing list of factors is not exhaustive. Additional information on these and other factors that could affect Twin Butte's operations and financial results are included in reports on file with Canadian securities regulatory authorities and may be accessed through the SEDAR website (www.sedar.com) and at Twin Butte's website (www.twinbutteenergy.com). Furthermore, the forward-looking statements contained in this news release are made as at the date of this news release and Twin Butte does not undertake any obligation to update publicly or to revise any of the forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by applicable securities laws.
SOURCE Twin Butte Energy Ltd.For further information: Twin Butte Energy Ltd., Jim Saunders, Chief Executive Officer; Rob Wollmann, President; R. Alan Steele, Vice President, Finance, Chief Financial Officer and Corporate Secretary; Tel: (403) 215-2045, Website: www.twinbutteenergy.com