Not for distribution to U.S. newswire services or for dissemination in
the United States. Any failure to comply with this restriction may
constitute a violation of U.S. securities law.
CALGARY, Feb. 24 /CNW/ - Cequence Energy Ltd. ("Cequence" or the
"Company") (TSX: "CQE") is pleased to announce that it has increased its previously announced bought deal
financing (detailed in its press release issued earlier this morning)
with a syndicate of underwriters led by Peters & Co. Limited, and
including FirstEnergy Capital Corp., Cormark Securities Inc., Stifel
Nicolaus Canada Inc., National Bank Financial Inc. and CIBC World
Markets Inc., pursuant to which Cequence has agreed to now issue an
additional 3,550,000 common shares of the Corporation ("Common Shares")
pursuant to the financing. As such, an aggregate of 11,650,000 Common
Shares at a price of $2.85 per Common Share are being issued pursuant
to the financing. The size of the previously announced offering of
flow-though common shares to be issued on a "CEE flow-through" basis
pursuant to the Income Tax Act (Canada) (the "Flow-Through Shares") at
a price of $3.50 per Flow-Through Share remains unchanged at 2,100,000
Flow-Through Shares. Total gross proceeds of the offering will now be
approximately $40.6 million. In addition, Cequence has granted the
underwriters a 15% over-allotment option to purchase additional Common
Shares for additional gross proceeds of $4.98 million if the
over-allotment option is exercised in full.
In all other respects the terms of the financing and the use of proceeds
will remain as previously disclosed in the earlier press release.
Cequence is a publicly traded Canadian energy company involved in the
acquisition, exploitation, exploration, development and production of
natural gas and crude oil in western Canada. Further information about
Cequence may be found in its continuous disclosure documents filed with
Canadian securities regulators at www.sedar.com.
Forward Looking Information
Certain information included in this press release constitutes
forward-looking information under applicable securities legislation.
Such forward-looking information is provided for the purpose of
providing information about management's current expectations and plans
relating to the future. Readers are cautioned that reliance on such
information may not be appropriate for other purposes, such as making
investment decisions. Forward-looking information typically contains
statements with words such as "anticipate", "believe", "expect",
"plan", "intend", "estimate", "propose", "project" or similar words
suggesting future outcomes or statements regarding an outlook.
Forward-looking information in this press release may include, but is
not limited to, information with respect to: the timing and completion
of the offering; the use of proceeds; operational decisions and the
timing thereof, development and exploration plans and the timing
thereof; and future production levels. Forward-looking information is
based on a number of factors and assumptions which have been used to
develop such information but which may prove to be incorrect. Although
the Company believes that the expectations reflected in such
forward-looking information is reasonable, undue reliance should not be
placed on forward-looking information because the Company can give no
assurance that such expectations will prove to be correct. In addition
to other factors and assumptions which may be identified in this press
release, assumptions have been made regarding and are implicit in,
among other things: the performance of the underwriters obligations in
relation to the offering; field production rates and decline rates;
the ability of the Company to secure adequate product transportation;
the impact of increasing competition in or near the Company's plays;
the timely receipt of any required regulatory approvals; the ability of
the Company to obtain qualified staff, equipment and services in a
timely and cost efficient manner to develop its business; Cequence's
ability to operate the properties in a safe, efficient and effective
manner; the ability of the Company to obtain financing on acceptable
terms; the ability to replace and expand oil and natural gas reserves
through acquisition, development of exploration; the timing and costs
of pipeline, storage and facility construction and expansion; future
oil and natural gas prices; currency, exchange and interest rates; the
regulatory framework regarding royalties, taxes and environmental
matters; and the ability of the Company to successfully market its oil
and natural gas products. Readers are cautioned that the foregoing list
is not exhaustive of all factors and assumptions which have been used.
Forward-looking information is based on current expectations, estimates
and projections that involve a number of risks and uncertainties which
could cause actual results to differ materially from those anticipated
by the Company and described in the forward-looking information. The
material risk factors affecting the Company and its business are
contained in the Company's Annual Information Form which is available
under the Company's issuer profile on SEDAR at www.sedar.com.
The forward-looking information contained in this press release is made
as of the date hereof and the Company undertakes no obligation to
update publicly or revise any forward-looking information, whether as a
result of new information, future events or otherwise, unless required
by applicable securities laws. The forward looking information
contained in this press release is expressly qualified by this
The Toronto Stock Exchange has neither approved nor disapproved the
contents of this press release.
The Common Shares and Flow-Through Shares have not been and will not be
registered under the United States Securities Act of 1933, as amended,
or any states securities laws and may not be offered, sold or delivered
in the United States or to or for the account or benefit of U.S.
persons absent registration or applicable exemption from the
registration requirement of such act or any applicable states
securities laws. This news release does not constitute an offer to sell
or a solicitation of an offer to buy securities in the United States.
SOURCE Cequence Energy Ltd.
For further information:
Paul Wanklyn, President and Chief Executive Officer, (403) 218-8850, firstname.lastname@example.org; or David Gillis, Vice President, Finance and Chief Financial Officer, (403) 806-4041, email@example.com; www.cequence-energy.com