VANCOUVER, BRITISH COLUMBIA–(Marketwired – Nov. 7, 2013) – (TSX VENTURE:BBI) Blackbird Energy Inc. (“Blackbird” or the “Company“) is pleased to announce that it has closed its previously announced private placement for gross proceeds of $3,087,361 (“Private Placement“).
The Private Placement was comprised of a unit portion at $0.09 per unit (each, a “Unit“) and a Canadian Exploration Expense (“CEE“) flow-through share component at $0.10 per flow-through share (each, a “Flow-Through Share“).
A total of 26,148,463 Units and 7,340,000 Flow-Through Shares were issued pursuant to the Private Placement. Each Unit consists of one common share (each, a “Common Share“) and one Common Share purchase warrant (each, a “Warrant“) which is exercisable to acquire one additional Common Share at a price of $0.15 until November 7, 2018. The Warrants are subject to an early acceleration provision which provides for the mandatory exercise or expiry of the Warrants in the event the Company’s shares close at $0.30 or higher for at least 10 consecutive trading days. In such event, the Warrants will accelerate and expire 30 days after the Company has given notice of the acceleration to the Warrant holders.
Garth Braun, President and CEO of Blackbird stated, “We are extremely pleased with the closing and the demand we encountered for this private placement. With this financing behind us, we are in a strong position to proceed with additional exploration work on our properties, and in particular with the drilling of four wells at our Mantario and Bromhead projects.”
In connection with the Private Placement the Company paid finder’s fee to various arm’s length finders consisting of a cash portion in the aggregate amount of $184,102 and 1,970,021 finder’s warrants. Each finder’s warrant is exercisable at a price of $0.15 until November 7, 2015.
The Private Placement remains subject to receipt of the TSX Venture Exchange’s final acceptance.
In accordance with applicable securities laws, all of the securities issued pursuant to the Private Placement, including all finder’s warrants, are subject to a minimum four month hold period, expiring on March 8, 2014.
Blackbird today also announced that it has granted 1,200,000 incentive stock options to Joshua Mann, the Company’s Vice President Business Development. Such options are exercisable at a price of $0.11 for a period of five years.
Blackbird Energy Inc. is a Western Canadian based company that explores, develops and produces oil and natural gas in Saskatchewan and Alberta, Canada. The Company is managed by a proven technical team. Blackbird trades on the TSX Venture Exchange under the symbol BBI.
Blackbird’s team is focused on originating new high quality oil projects through the assembly of land positions in Saskatchewan and Alberta.
For more information please visit the company’s website and view the corporate presentation at www.blackbirdenergyinc.com
On behalf of the board of BLACKBIRD ENERGY INC.
Chief Executive Officer and Director
Disclaimer for Forward-Looking Information
This press release contains forward-looking information that involves various risks and uncertainties regarding future events related to receipt of TSX Venture Exchange final acceptance for the Private Placement and the proposed drilling of wells on the Company’s Mantario and Bromhead Projects. Such statements are subject to risks and uncertainties that may cause actual results, performance or developments to differ materially from those contained in the statements and are not guarantees of future performance of the Company. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. These forward-looking statements reflect management’s current views and are based on certain expectations, estimates and assumptions which may prove to be incorrect. A number of risks and uncertainties could cause our actual results to differ materially from those expressed or implied by the forward-looking statements, including: (1) a downturn in general economic conditions in North America and internationally, (2) the inherent uncertainties and speculative nature associated with oil and gas exploration and production, (3) a decreased demand for natural gas, (4) any number of events or causes which may delay or cease exploration and development of the Company’s property interests, such as environmental liabilities, weather, mechanical failures, safety concerns and labour problems, (5) the risk that the Company does not execute its business plan, (6) inability to retain key employees, (7) inability to finance operations and growth, and (8) other factors beyond the Company’s control. These forward-looking statements are made as of the date of this news release and, except as required by law, the Company assumes no obligation to update these forward-looking statements, or to update the reasons why actual results differed from those projected in the forward-looking statements
THE TSX VENTURE EXCHANGE INC. HAS NEITHER APPROVED NOR DISAPPROVED THE CONTENTS OF THIS PRESS RELEASE. NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
QIS Capital Corp.
Blackbird Energy Inc.
Garth Braun, President & CEO
Office (604) 688-2295