Excelsior Energy Limited announces that further to its press release dated August 6, 2008, it has now closed its private placement financing raising aggregate gross proceeds of $11,286,848. The financing consisted of 7,065,799 common shares (the "Common Shares") issued at a price of $0.29 per Common Share and 27,169,900 flow-through common shares (the “FT Common Shares”) at a price of $0.34 per FT Common Share (collectively, the “Offering”).
The proceeds from the Offering will be used to further delineate Excelsior’s existing land base in Hangingstone, exploration and development activities, and for general working capital purposes.
The Offering was marketed through a syndicate of investment dealers led by Raymond James Ltd. and including Macquarie Capital Markets Canada Ltd., Canaccord Capital Corporation and National Bank Financial Inc.
In addition, Excelsior has negotiated an option to extend the completion of the earning obligation at West Surmont from March 31, 2009 to March 31, 2010 and to extend payment of any supplemental bonus payable to March 31, 2011. For further information on the West Surmont farmout agreement between a private Alberta corporation and the Corporation dated July 20, 2007, see the Corporation's news release dated July 23, 2007.
“We are pleased to secure financing to further delineate the Hangingstone asset this winter and move closer to a pilot project application next year” commented Dr. David A. Winter, Excelsior’s President and Chief Executive Officer. “Re-negotiating the farmout agreement at Surmont provides the flexibility to deploy the proceeds from financing in the most effective manner.”
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