Pinedale Energy Announces Private Placement
September 21, 2017
Vancouver, British Columbia – Pinedale Energy Limited (“Pinedale” or the “Company”) (TSXV: MCF) announces that it intends to conduct a non-brokered private placement of up to 5,000,000 units (the “Units”) at a price of $0.30 per Unit, for gross proceeds of up to $1,500,000 (the “Offering”). Each Unit will be comprised of one Class A common share of the Company (a “Share”) and one transferable share purchase warrant of the Company (a “Warrant”). Each Warrant entitles the holder to acquire one additional Share at an exercise price of $0.36 per Share for a period of five years from the closing date of the Offering.
The Shares and Warrants underlying the Units and any Shares acquired on exercise of the Warrants will be subject to a four month hold period from the closing date, in accordance with applicable securities laws. The proceeds from the Offering will be used for working capital and general corporate purposes. Completion of the Offering is subject to the approval of the TSX Venture Exchange.
It is anticipated that certain insiders of the Company may participate in the Offering. The participation of an insider is considered to be a “related party transaction” pursuant to Multilateral Instrument 61-101 Protection of Minority Security Holders in Special Transactions (“MI 61-101”). The Company is relying on Section 5.5(b) of MI 61-101 for an exemption from the formal valuation requirement as the Company is not listed on specified markets, and Section 5.7(1)(a) of MI 61-101 for an exemption from the minority shareholder approval requirement as the fair market value of the transaction does not exceed 25% of the Company’s market capitalization.
About Pinedale Energy Limited
Pinedale Energy Limited is an independent oil and gas exploration and production company focused exclusively on its natural gas properties situated in the prolific Pinedale field area, within the Green River Basin of southwestern Wyoming. Pinedale, through its subsidiaries, owns non-operated interests in 17 oil and gas leases with an undivided working interest ranging from 11.56% to 21.25% in approximately 11,995 acres. At year-end 2016, the Company had gross proved reserves of approximately 95.5 billion cubic feet of gas and 842 thousand barrels of oil (101.5 billion cubic feet equivalent); 93% undeveloped.
The Class A common shares of Pinedale Energy Limited are listed for trading on the TSX Venture Exchange under the symbol “MCF.” Additional information on Pinedale Energy Limited is available on the SEDAR website at www.sedar.com or on the Company’s website at www.PinedaleEnergy.com
For further information, please contact:
President and Chief Executive Officer
Pinedale Energy Limited
Suite 650 - 669 Howe Street,
Vancouver, BC, Canada, V6C 0B4
Neither the TSX Venture Exchange nor its Regulation Services Provider (as such term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Certain information contained herein constitutes “forward-looking information” under Canadian securities legislation. Forward-looking information includes, but is not limited to, statements with respect to the Offering, the use of proceed and insider participation in the Offering. Generally, forward-looking information can be identified by the use of forward-looking terminology such as “intends”, “anticipated”, “will be” or variations of such words and phrases or statements that certain actions, events or results “will” occur. Forward-looking statements are based on the opinions and estimates of management as of the date such statements are made and they are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Pinedale to be materially different from those expressed or implied by such forward-looking statements or forward-looking information, including: the receipt of all necessary regulatory approvals, capital expenditures and other costs, and financing and additional capital requirements. Although management of Pinedale have attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements or forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information. Pinedale will not update any forward-looking statements or forward-looking information that are incorporated by reference herein, except as required by applicable securities laws.