CALGARY, Alberta, Oct. 31, 2017 (GLOBE NEWSWIRE) — Traverse Energy Ltd. (the “Corporation”) (TSX Venture:TVL) announces that it has closed the second and final tranche (the “Final Tranche”) of its previously announced non-brokered private placement (the “Private Placement”) of common shares of the Corporation (“Shares”) issued on a “flow through” basis eligible for the renunciation of Canadian exploration expenses within the meaning of the Income Tax Act (Canada) at $0.46 per Share. The Corporation issued 1,087,000 Shares for gross proceeds of $500,020 in the Final Tranche. These Shares are subject to a hold period under applicable securities law until March 1, 2018.
The Corporation issued a total of 11,826,000 Shares in the Private Placement for total gross proceeds of approximately $5.4 million. The Corporation paid an aggregate finder’s fee of $249,419 to two registered brokers in consideration for placing an aggregate of 9,036,917 Shares under the Private Placement.
Insiders of the Corporation participated in the Private Placement and purchased an aggregate of 823,083 Shares or approximately 7% of the Private Placement.
The Corporation intends to use the proceeds from the Private Placement to fund a portion of its exploration activities in Alberta. Drilling has been completed on the previously announced horizontal well at Chigwell in the East Duvernay oil basin. Traverse has secured services to fracture treat and complete the well commencing in late November.
About the Corporation
The Corporation is a junior oil and natural gas exploration and production company in Alberta. The common shares of the Corporation currently are listed on the TSXV under the trading symbol “TVL”. There are currently 103,496,752 Shares issued and outstanding.