Reece Energy closes brokered private placement



    
    /NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR
    DISSEMINATION IN THE UNITED STATE/
    

    MEDICINE HAT, AB, Aug. 22 /CNW/ - Reece Energy Exploration Corp.    
(TSX-V/RXR) ("Reece") is pleased to announce that it has closed its previously
announced $12 million private placement financing ("Financing"). The
Financing, which was oversubscribed, was completed by a syndicate of agents
led by Wolverton Securities Ltd. and included Evergreen Capital Partners Inc.
and CIBC World Markets Inc.
    Pursuant to the Financing, Reece issued and sold 3,870,967 common shares
at $3.10 per share.
    Proceeds from the Financing will be used to fund Reece's previously
announced joint venture as well as an expanded Viking drilling program,
ongoing capital program and for general corporate purposes.
    The Shares are subject to a four month hold period. Reece anticipates
receiving the TSX Venture Exchange's final bulletin respecting the Financing
once it has submitted, to the TSX Venture Exchange, certain final
documentation with respect to the Financing.
    The securities offered have not been registered under the United States
Securities Act of 1933, as amended, and may not be offered or sold in the
United States or to, or for the account or benefit of, U.S. persons absent
registration or an applicable exemption from registration requirements. This
release does not constitute an offer for sale of securities in the United
States.

    Reece is a publicly held oil and gas company headquartered in Medicine
Hat, Alberta, Canada that trades on the TSX Venture Exchange under the symbol
"RXR".

    The TSX Venture Exchange does not accept responsibility for the adequacy
    or accuracy of this release.

    Certain statements in this news release including (i) statements that may
contain words such as "anticipate", "could", "expect", "seek", "may" "intend",
"will", "believe", "should", "project", "forecast", "plan" and similar
expressions, including the negatives thereof, (ii) statements that are based
on current expectations and estimates about the markets in which Reece
operates and (iii) statements of belief, intentions and expectations about
developments, results and events that will or may occur in the future,
constitute "forward-looking statements" and are based on certain assumptions
and analysis made by Reece. Forward-looking statements in this news release
include, but are not limited to, statements with respect to future capital
expenditures, including the amount, nature and timing thereof; oil and natural
gas prices and demand; other development trends within the oil and natural gas
industry; business strategy; expansion and growth of Reece's business and
operations and other such matters. Such forward-looking statements are subject
to important risks and uncertainties, which are difficult to predict and that
may affect Reece's operations, including, but are not limited to: the impact
of general economic conditions; industry conditions; government and regulatory
developments; oil and natural gas product supply and demand; competition; and
Reece's ability to attract and retain qualified personnel. Reece's actual
results, performance or achievements 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
transpire or occur, what benefits Reece will derive therefrom. Subject to
applicable law, Reece disclaims any intention or obligation to update or
revise any forward-looking statements, whether as a result of new information,
future events or otherwise.

    All forward-looking statements contained in this document are expressly
qualified by this cautionary statement. Further information about the factors
affecting forward-looking statements is available in Reece's current Annual
Report which has been filed with Canadian provincial securities commissions
and is available on www.sedar.com.





For further information:

For further information: Lorne Swalm, President & C.E.O., Reece Energy
Exploration Corp., Phone: (403) 526-9700, lswalm@reeceenergy.com,
www.reeceenergy.com

Organization Profile

REECE ENERGY EXPLORATION CORP.

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