Donnycreek Increases Private Placement to Approximately $8 Million of Flow-Through Shares
03 Dicembre 2013 - 4:30PM
Marketwired Canada
THIS NEWS RELEASE IS NOT FOR DISSEMINATION OR DISTRIBUTION IN THE UNITED STATES
OF AMERICA TO UNITED STATES NEWSWIRE SERVICES OR UNITED STATES PERSONS
Donnycreek Energy Inc. ("Donnycreek" or the "Company") (TSX VENTURE:DCK) reports
that due to strong demand, the Company and RBC Capital Markets have increased
the size of the recently announced private placement offering from $6,000,000 to
$8,040,000 of common shares of the Company to be issued on a "flow-through"
basis (the "Flow-Through Shares") at a price of $2.40 per Flow-Through Share
(the "Offering").
The gross proceeds of the Flow-Through Shares will be used by the Company to
incur eligible Canadian exploration expenses ("Qualifying Expenditures") prior
to December 31, 2014 on Donnycreek's properties. The Company will renounce the
Qualifying Expenditures to subscribers of the Flow-Through Shares for the fiscal
year ended December 31, 2013.
The Offering is subject to certain conditions including, but not limited to, the
receipt of all necessary regulatory approvals, including the approval of the TSX
Venture Exchange. Insiders of the Company will be participating in the Offering.
Closing of the Offering is expected to occur on or about December 16, 2013. All
Flow-Through Shares issued pursuant to the Offering will be subject to a
four-month hold period.
Donnycreek is a Calgary based public oil and gas company which holds
approximately 438 gross (313 net) sections of petroleum and natural gas rights,
with an average working interest of approximately 70%, prospective primarily for
Montney liquid rich natural gas resource development all of which are located in
the Deep Basin area of west-central Alberta.
Further information relating to Donnycreek is also available on its website at
www.donnycreekenergy.com.
ON BEHALF OF THE BOARD OF DONNYCREEK ENERGY INC.
Malcolm F.W. Todd, President and Chief Executive Officer
ADVISORY ON FORWARD-LOOKING STATEMENTS: This news release contains certain
forward-looking information and statements ("forward-looking statements") within
the meaning of applicable securities laws. The use of any of the words "expect",
"anticipate", "continue", "estimate", "may", "will", "project", "should",
"believe", "plans", "intends" and similar expressions are intended to identify
forward-looking statements. In particular, but without limiting the foregoing,
this news release contains statements concerning the anticipated closing date
and use of proceeds of the Offering, participation in the Offering and the
primary prospective zone for development on the Company's lands.
The forward-looking statements contained in this document are based on certain
key expectations and assumptions made by Donnycreek, including with respect to
the closing dates of the Offering, the use of proceeds of the Offering,
expectations and assumptions concerning timing of receipt of required regulatory
approvals and the satisfaction of other conditions to the completion of the
Offering as well as expectations and assumptions concerning the success of
future drilling activities.
Forward-looking statements are based on a number of material factors,
expectations or assumptions of Donnycreek which have been used to develop such
statements and information but which may prove to be incorrect. Although
Donnycreek believes that the expectations reflected in these forward-looking
statements are reasonable, undue reliance should not be placed on them because
Donnycreek can give no assurance that they will prove to be correct. Since
forward-looking statements address future events and conditions, by their very
nature they involve inherent risks and uncertainties. Further, events or
circumstances may cause actual results to differ materially from those predicted
as a result of numerous known and unknown risks, uncertainties, and other
factors, many of which are beyond the control of the Company, including, without
limitation: the receipt of all regulatory approvals for the Offering; the
general continuance of current industry conditions; future commodity prices;
currency, exchange and interest rates; regulatory framework regarding royalties,
taxes and environmental matters in the jurisdictions in which Donnycreek
operates; and certain other risks detailed from time-to-time in Donnycreek's
public disclosure documents. Additional information regarding some of these
risks, expectations or assumptions and other factors may be found under in the
Company's Annual Information Form for the year ended July 31, 2013 and the
Company's Management's Discussion and Analysis prepared for the year ended July
31, 2013. The reader is cautioned not to place undue reliance on these
forward-looking statements. The forward-looking statements contained in this
news release are made as of the date hereof and Donnycreek undertakes no
obligations to update publicly or revise any forward-looking statements, whether
as a result of new information, future events or otherwise, unless so required
by applicable securities laws.
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 NEWS RELEASE.
FOR FURTHER INFORMATION PLEASE CONTACT:
Donnycreek Energy Inc.
Malcolm Todd
President and Chief Executive Officer
(604) 684-2356
(604) 684-4265 (FAX)
www.donnycreekenergy.com
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