Birch Lake Announces Closing of Final Tranche of Private Placement Financing

CALGARY, Dec. 31, 2012 /CNW/ - Birch Lake Energy Inc. ("Birch Lake" or the "Corporation) (TSXV: BLK) announced today that it has closed the final tranche of its previously announced non-brokered private placement of common shares and flow-through shares for aggregate gross proceeds of $210,499.92, subject to TSX Venture Exchange final approval.  Birch Lake issued 1,754,166 flow-through shares at $0.12 per flow-through share.

Finders acting in connection with the final tranche of the private placement are entitled to receive aggregate fees of $7,000.  The securities issued in connection with the offering will be subject to a four month hold period that expires on May 1, 2013.  The net proceeds from the offering will be used to finance the Corporation's continuing capital program and for general working capital purposes.

Forward Looking Statements:
This press release contains certain statements which constitute forward-looking statements or information ("forward-looking statements"), including statements regarding Birch Lake's business and the financing which by their nature are forward-looking statements and which are subject to numerous risks and uncertainties, some of which are beyond Birch Lake's control, including the impact of general economic conditions, industry conditions, volatility of commodity prices, currency fluctuations, imprecision of reserve estimates, environmental risks, operational risks in exploration and development, competition from other industry participants, the lack of availability of qualified personnel or management, stock market volatility and the ability to access sufficient capital from internal and external sources. Although Birch Lake believes that the expectations in our forward-looking statements are reasonable, our forward-looking statements have been based on factors and assumptions concerning future events which may prove to be inaccurate. Those factors and assumptions are based upon currently available information. Such statements are subject to known and unknown risks, uncertainties and other factors that could influence actual results or events and cause actual results or events to differ materially from those stated, anticipated or implied in the forward looking information. As such, readers are cautioned not to place undue reliance on the forward looking information, as no assurance can be provided as to future results, levels of activity or achievements. The forward-looking statements contained in this document are made as of the date of this document and, except as required by applicable law, Birch Lake does not undertake any obligation to publicly update or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise. The forward-looking statements contained in this document are expressly qualified by this cautionary statement.

About Birch Lake Energy Inc.

Birch Lake is a junior oil and gas company engaged in the exploration for and the acquisition, development and production of oil and natural gas reserves. The Corporation's common shares are listed to trade on the TSX Venture Exchange under the symbol "BLK".

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

SOURCE: Birch Lake Capital Inc.

For further information:

William H. Petrie
President and Chief Executive Officer
(403) 457-1944

Organization Profile

Birch Lake Capital Inc.

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