Friday, February 2, 2007 1:34 PM
True North Energy Corporation (OTCBB: TNEN), an independent energy exploration company is pleased to announce it has closed a recent private placement of 800,000 units priced at $2.50 per unit for total gross proceeds of $2,000,000. Each unit consists of one share of our common stock and one common stock purchase warrant priced at $3.50 per share and exercisable over the next three years for the purchase of an additional share of common stock.
The $2,000,000 equity financing will be used to fund the Company’s anticipated drilling program with BP and near-term working capital requirements.
“To date, True North Energy has raised in excess of $8,000,000 in equity financing while at the same time not incurring any debt. This latest financing will allow True North Energy to continue with our planned drilling program,” stated John Folnovic, President and CEO of True North Energy Corp.
The securities offered have not been registered under the Securities Act of 1933 and may not be offered or sold in the United States absent a registration or an applicable exemption from the registration requirements.
Shareholders and interested parties are encouraged to visit True North Energy’s website: www.tnecorp.com and download True North Energy Corporation’s Information Package. Please feel free to call shareholder relations toll-free on 1-888-567-0888 to receive a corporate information package. Alternatively, sign up at the website to receive news on the company as it becomes available.
About True North Energy Corporation
True North Energy Corporation is a publicly traded, independent oil and gas exploration company, with headquarters in Houston, Texas. True North Energy Corporation is focused on developing the company’s core assets in Alaska. The company is strategically located in the Cook Inlet and Beaufort Sea areas of Alaska and has commenced technical evaluation of its 34,000 acres of petroleum land holdings. True North Energy Corporation trades on the NASD OTC BB under the ticker symbol: TNEN.
John Folnovic, President and CEO
Statements in this news release that are not historical facts are forward-looking statements that are subject to risks and uncertainties. Words such as “expects”, “intends”, “plans”, “may”, “could”, “should”, “anticipates”, “likely”, “believes” and words of similar import also identify forward-looking statements. Forward-looking statements are based on current facts and analyses and other information that are based on forecasts of future results, estimates of amounts not yet determined and assumptions of management, including, but not limited to, the Company’s belief that True North Energy Corporation can identify and successfully negotiate leases for oil and gas properties in Alaska, and that the Company can participate in the exploration of those properties. Actual results may differ materially from those currently anticipated due to a number of factors beyond the reasonable control of the Company. Additional information on risks and other factors that may affect the business and financial results of the Company can be found in filings of the Company with the U.S. Securities and Exchange Commission.