Twin Butte Energy Ltd. completes $23 million bought deal equity financing

CALGARY, Feb. 2 /CNW/ - (TSX: TBE) - Twin Butte Energy Ltd. ("Twin Butte") is pleased to announce the closing of its recently announced bought deal financing of 18,400,000 common shares at $1.25 per share for gross proceeds of $23,000,000, which included 2,400,000 common shares issued on the full exercise of the over-allotment option granted to the underwriters. The financing was co-led by Peters & Co. Limited and Mackie Research Capital Corporation and included National Bank Financial Inc., Canaccord Financial Ltd., Cormark Securities Inc., Acumen Capital Finance Partners Limited and GMP Securities L.P.

Net proceeds of the offering will initially be used to reduce Twin Butte's existing bank indebtedness and provide further flexibility to expand Twin Butte's on-going capital investment program including both drilling and potential acquisitions.

Twin Butte is a value oriented junior producer with a significant repeatable and scalable drilling inventory focused on large original oil in place and large original gas in place play types. With a stable low decline production base, Twin Butte believes it is well positioned to live within cash flow while executing a significant capital program generating double digit organic growth. Twin Butte is committed to continuing to enhance its asset quality while focusing on per share growth.

Reader Advisory

Certain information regarding Twin Butte set forth in this news release including the use of proceeds of the offering and management's assessment of 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 Twin Butte's control, including without limitation, the receipt of regulatory approvals, 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. As a consequent, actual results may differ materially from those anticipated from the forward-looking statements. Readers are cautioned that the foregoing list of factors is not exhaustive. Additional information on these and other factors that could effect Twin Butte's operations and financial results are included in reports on file with Canadian securities regulatory authorities and may be accessed through the SEDAR website ( and at Twin Butte's website ( Furthermore, the forward-looking statements contained in this news release are made as at the date of this news release and Twin Butte does not undertake any obligation to update publicly or to revise any of the forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by applicable securities laws.

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SOURCE Twin Butte Energy Ltd.

For further information: For further information: Jim Saunders, President and Chief Executive Officer; Alan Steele, Vice President, Finance and Chief Financial Officer, Twin Butte Energy Ltd., Suite 410, 396 - 11th Avenue S.W., Calgary, Alberta, T2R 0C5, Phone: (403) 215-2045, Fax: (403) 215-2055, Website:

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