CALGARY, ALBERTA–(Marketwired – June 10, 2013) –
NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES OF AMERICA
Bonterra Energy Corp. (Bonterra) (www.bonterraenergy.com) (TSX:BNE) announces that it has entered into an agreement with a syndicate of Underwriters pursuant to which the Underwriters have agreed to purchase on a bought deal basis 481,500 common shares at a price of $49.85 per Common Share (the “Issue Price”) for aggregate gross proceeds of approximately $24 million (the “Offering”).
The net proceeds of the Offering will be used to increase Bonterra’s capital expenditure program to further develop and exploit its Cardium properties, and for general corporate purposes.
The Offering is being made by a syndicate of underwriters led by FirstEnergy Capital Corp. (the “Underwriters”). Bonterra has granted the Underwriters an option (the “Over-Allotment Option”) to purchase up to an additional 72,225 Common Shares at the Issue Price to cover over-allotments, if any, for additional gross proceeds of approximately $3.6 million. The Over-Allotment Option is exercisable in whole or in part at any time until 30 days after the closing of the Offering. Prior to this Offering, Bonterra had approximately 30,620,946 common shares outstanding.
Pursuant to the Offering, the Common Shares will be offered in the provinces of Alberta, British Columbia, Manitoba, Ontario and Saskatchewan, by way of a short form prospectus and by way of private placement in the United States pursuant to exemptions from the registration requirements pursuant to Rule 144A and/or Regulation D of the United States Securities Act of 1933.
Closing of the Offering is expected to occur on or about July 2, 2013. The Offering is subject to certain customary conditions including, but not limited to, the receipt of all necessary approvals including the approval of the TSX.
Bonterra Energy Corp. is a conventional oil and gas corporation with operations in Alberta, Saskatchewan and British Columbia. The shares are listed on The Toronto Stock Exchange under the symbol “BNE”.
Forward Looking Information
This press release contains certain statements or disclosures relating to Bonterra that are based on the expectations of Bonterra as well as assumptions made by and information currently available to Bonterra which may constitute forward-looking information under applicable securities laws. In particular, this press release contains forward-looking information related to the closing date of the Offering and the anticipated use of net proceeds. Such forward looking information involves material assumptions and known and unknown risks and uncertainties, certain of which are beyond Bonterra’s control. Many factors could cause the performance or achievement by Bonterra to be materially different from any future results, performance or achievements that may be expressed or implied by such forward looking information. Bonterra’s Annual Information Form and other documents filed with securities regulatory authorities (accessible through the SEDAR website at www.sedar.com) describe the risks, material assumptions and other factors that could influence actual results and which are incorporated herein by reference. Bonterra disclaims any intention or obligation to publicly update or revise any forward looking information, whether as a result of new information, future events or otherwise, except as may be expressly required by applicable securities laws.
This news release does not constitute an offer to sell or the solicitation of an offer to buy any securities in any jurisdiction. This news release is not an offer for sale within the United States of any Common Shares or other securities of Bonterra. Any offering of securities of Bonterra will not be registered under the U.S. Securities Act and may not be offered or sold in the United States absent registration under U.S. securities laws or an applicable exemption from registration under such laws. These securities may not be sold in any state in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such state.