/NOT FOR DISSEMINATION IN THE US OR THROUGH US WIRE SERVICES/
CALGARY, March 27 /CNW/ - (TSX-PXE) - ProEx Energy Ltd. ("ProEx" or the
"Company") today announced that it has completed its previously announced
equity financing of 8,050,000 subscription receipts ("Subscription Receipts")
at a price of $12.45 per Subscription Receipt for aggregate gross proceeds of
$100,222,500. The Subscription Receipts were offered on a "bought deal" basis
through a syndicate of underwriters co-led by Peters & Co. Limited and BMO
Capital Markets and including FirstEnergy Capital Corp., Raymond James Ltd.,
GMP Securities LP, Canaccord Capital Corporation, Sprott Securities, and
Tristone Capital Inc. (collectively, the "Underwriters").
Net proceeds of the offering will be used to fund the acquisition of
certain interests in northeast British Columbia Foothills assets (the
"Acquisition"). The Acquisition has an effective date of April 1, 2007 and is
expected to close on or about April 2, 2007, with the closing being subject to
customary industry conditions. ProEx's total consideration under the agreement
is approximately $134.3 million, subject to certain closing adjustments.
Each Subscription Receipt represents the right to receive one common
share of ProEx, without the payment of any additional consideration, on the
closing of the Acquisition. The proceeds from the offering of Subscription
Receipts have been deposited in escrow pending the closing of the Acquisition.
If the Acquisition closes on or before May 1, 2007, the net proceeds from the
offering of the Subscription Receipts will be released to ProEx and used by
ProEx to pay a portion of the Acquisition price.
This News Release is not an offer to sell or a solicitation of offers to
buy the Subscription Receipts in the United States. The Subscription Receipts
have not been and will not be registered under the United States Securities
Act and may not be offered or sold in the United States except in transactions
exempt from such registration.
ProEx is a Calgary based junior oil and natural gas company with
operations focused in northeast British Columbia. Common shares of ProEx are
listed on the Toronto Stock Exchange under the symbol PXE.
Forward Looking Statements - Certain information regarding ProEx Energy
Ltd. set forth in this document, including management's assessment of ProEx
Energy Ltd.'s future plans and operations, contains forward-looking statements
that involve substantial known and unknown risks and uncertainties. These
forward-looking statements are subject to numerous risks and uncertainties,
certain of which are beyond ProEx Energy Ltd.'s control, including the impact
of general economic conditions, industry conditions, volatility of commodity
prices, currency fluctuations, imprecision of reserve estimates, environmental
risks, competition from other producers, the lack of availability of qualified
personnel or management, stock market volatility and ability to access
sufficient capital from internal and external sources. ProEx Energy Ltd.'s
actual results, performance or achievement could differ materially from those
expressed in, or implied by, these forward-looking statements and,
accordingly, no assurance can be given that any of the events anticipated by
the forward-looking statements will transpire or occur, or if any of them do
so, what benefits that ProEx Energy Ltd. will derive therefrom.
For further information:
For further information: Mr. David Johnson, President & CEO; Mr. Steven
Allaire, Vice President Finance & CFO, ProEx Energy Ltd., 1200, 205 - 5th
Avenue S.W., Calgary, Alberta, T2P 4B9, Phone: (403) 216-2510, Fax: (403)
216-2514, Email: firstname.lastname@example.org