/THIS NEWS RELEASE IS NOT FOR DISTRIBUTION TO U.S. NEWS SERVICES OR FOR
DISSEMINATION IN THE UNITED STATES/
Listed: TSX Venture Exchange (Symbol: EOR)
HOUSTON, Oct. 2 /CNW/ - Enhanced Oil Resources Inc. (the "Company") is
pleased to announce that it has engaged Union Securities Ltd. (the "Agent") as
agent in connection with a private placement of up to $25,000,000 (CDN),
comprised of Units (up to 13,900,000 Units) at $1.80 per Unit (the
"Offering"). Each Unit is comprised of 1 common share and one-half of one
non-transferable common share purchase warrant, each whole warrant entitling
the holder to purchase an additional common share at $2.50 per Warrant for a
period of 24 months from Closing. The Company also proposes to grant the Agent
the option (the "Over-Allotment Option") to purchase up to $10,000,000 (CDN)
in additional Units.
The Agent with regard to its services is entitled to receive (a) a cash
commission equal to 7% of the aggregate gross proceeds of the Units sold
pursuant to the Offering and the Over-Allotment Option including in respect of
any Units purchased by the Agent as principal; and (b) Agent's Compensation
Options equal to 8% of the aggregate number of Units sold pursuant to the
Offering and the Over-Allotment Option, where each Agent's Compensation Option
entitles the Agent to purchase one Unit of the Company at $1.80 (CDN) per Unit
for a period of 24 months from the applicable Closing Date.
It is anticipated that the proceeds from this placement will be used for
additional oil field acquisitions, development activity at the Milnesand and
Chaveroo oilfields, development of the St. Johns Helium and CO2 gas field and
for general working capital.
ON BEHALF OF THE BOARD OF DIRECTORS
Barry D Lasker, CEO
THE TSX VENTURE EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT
RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
THIS NEWS RELEASE, REQUIRED BY APPLICABLE CANADIAN LAWS, IS NOT FOR
DISTRIBUTION TO U.S. NEWS SERVICES OR FOR DISSEMINATION IN THE UNITED STATES,
AND DOES NOT CONSTITUTE AN OFFER OF THE SECURITIES DESCRIBED HEREIN. THESE
SECURITIES HAVE NOT BEEN REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF
1933, AS AMENDED, OR ANY STATE SECURITIES LAWS, AND MAY NOT BE OFFERED OR SOLD
IN THE UNITED STATES OR TO U.S. PERSONS UNLESS REGISTERED OR EXEMPT THEREFROM.
For further information:
For further information: visit our Website at www.enhancedoilres.com, or
please call Don Currie on 1-888-990-3551