WINNIPEG, June 30 /CNW/ - Donald Benson, Chairman and Chief Executive
Officer of Nordic Oil and Gas Ltd. ("Nordic" or, the "Company"), announced
today that the previously announced brokered private placement financing (the
"Offering") with Raymond James Ltd. ("Raymond James") has been completed. The
Offering, which was extended to a pre-determined, select group of Raymond
James clients, consisted of 4,166,667 Units ("Units") at a price of $0.60 per
Unit for total gross proceeds of $2.5 million.
Each Unit consisted of one Class A common share of the Company issued as
a "flow-through share" within the meaning of the Income Tax Act (Canada) and
one half of one Class A common share purchase warrant (a "Warrant"). Each
whole Warrant entitles the holder thereof to purchase one non flow-through
regular Class A common share of the Company at a price of $0.85 for a period
of two years from the date of issuance.
A cash selling commission of 7.5% of the gross proceeds raised was paid
on this transaction to Raymond James Ltd. In addition, Nordic is also granting
to Raymond James, broker warrants equal to 8% of the number of Units sold
pursuant to the Offering. Each broker warrant entitles the holder thereof to
purchase one non flow-through Class A common share of the Company at a price
of $0.60 per share for a period of 24 months from the date of issuance. In
addition, Raymond James was paid a corporate finance fee of $10,000, plus GST,
and was reimbursed for its expenses by the Company.
In other news, Mr. Benson also stated today that the perforations testing
and fracture stimulation is continuing at the Company's previously drilled
well in Preeceville, Saskatchewan.
"We have encountered some minor delays in securing the fracing equipment
necessary to complete the testing," he said. "As such, we are not expecting to
conclude the testing until July 7, following which will be issuing a further
About Nordic Oil and Gas Ltd.
Nordic Oil and Gas Ltd. is a junior oil and gas company engaged in the
exploration and development of oil, natural gas and Coal Bed Methane in
Alberta and Saskatchewan. The Corporation is listed on the TSX Venture
Exchange and trades under the symbol NOG.
The TSX Venture Exchange has not reviewed nor accepts responsibility for
the adequacy or accuracy of the contents of this News Release.
This news release contains certain statements that may be deemed
"forward-looking statements". All statements in this release, other than
statements of historical fact, that address events or developments that the
Company expects to occur, are forward looking statements. Forward looking
statements are statements that are not historical facts and are generally, but
not always, identified by the words "expects", "plans", "anticipates",
"believes", "intends", "estimates", "projects", "potential" and similar
expressions, or that events or conditions "will", "would", "may", "could" or
"should" occur. Although the Company believes the expectations expressed in
such forward-looking statements are based on reasonable assumptions, such
statements are not guarantees of future performance and actual results may
differ materially from those in forward looking statements. Factors that could
cause the actual results to differ materially from those in forward-looking
statements include market prices, exploration and drilling success, continued
availability of capital and financing and general economic, market or business
conditions. Investors are cautioned that any such statements are not
guarantees of future performance and actual results or developments may differ
materially from those projected in the forward-looking statements.
Forward-looking statements are based on the beliefs, estimates and opinions of
the Company's management on the date the statements are made. The Company
undertakes no obligation to update these forward-looking statements in the
event that management's beliefs, estimates or opinions, or other factors,
For further information:
For further information: Donald Benson, Chairman & CEO, Nordic Oil & Gas
Ltd., Tel: (204) 956-5042, Fax: (204) 897-7154, E-mail: firstname.lastname@example.org,