Africa Oil Corp. has agreed to sell on a non-brokered, private placement basis, an aggregate of up to 2.4 million common shares of the Company at a price of Cdn $5 per share for gross proceeds of up to Cdn $12 million. A 5% finder’s fee may be payable on a portion of the private placement. Net proceeds of the private placement will be used towards ongoing work at the Company’s Nogal and Dharoor oil and gas concessions in Puntland, Somalia as well as for general working capital purposes. Shares issued pursuant to the private placement will be subject to a four month hold period.
The private placement is subject to regulatory approval.
