CALGARY, ALBERTA–(Marketwired – Nov. 23, 2016) – Manitok Energy Inc. (the “Corporation” or “Manitok“) (TSX VENTURE:MEI) is pleased to announce that in connection with its previously announced best efforts offering (the “Offering“), it anticipates gross proceeds to be raised under the Offering to be approximately $5.05 million, subject to any exercise of applicable statutory rights of withdrawal and rescission by the purchasers as disclosed in the prospectus supplement dated November 22, 2016 to its short form base shelf prospectus dated September 28, 2016 (collectively, the “Prospectus“). The Offering is anticipated to close on or before November 29, 2016.
In connection with the Offering, Manitok has priced and filed the Prospectus to issue:
- up to 7,663,125 common shares of the Corporation (the “Offered Common Shares“) at a price of $0.13 per Offered Common Share;
- up to 4,755,250 common shares of the Corporation issued on a “flow-through” basis (the “CDE Flow-through Shares“), at a price of $0.14 per CDE Flow-through Share, with respect to “Canadian development expenses” within the meaning of the Income Tax Act (Canada) and regulations thereunder (collectively, the “Tax Act“); and
- and up to 23,710,750 common shares of the Corporation issued on a “flow-through” basis (the “CEE Flow-through Shares“, and together with the CDE Flow-through Shares, and the Offered Common Shares, the “Offered Shares“), at a price of $0.145 per CEE Flow-through Share, with respect to “Canadian exploration expenses” within the meaning of the Tax Act.
The Offered Shares will be issued pursuant to the terms of an agency agreement dated effective November 22, 2016 and entered into between Integral Wealth Securities Limited and Raymond James Ltd, as co-leads and a syndicate comprised of GMP Securities L.P. and Industrial Alliance Securities Inc. and the Corporation.
Completion of the Offering is subject to customary regulatory approvals, including the approval of the TSX Venture Exchange. The Corporation has obtained conditional approval to list the Offered Shares on the TSX Venture Exchange. Listing will be subject to the Corporation fulfilling all of the applicable listing requirements of the TSX Venture Exchange.
Manitok is a public oil and gas exploration and development company focused on conventional Mannville and Cardium oil and gas reservoirs in both southeast, and west central Alberta. The Corporation will utilize its experience to develop the untapped conventional oil and liquids-rich natural gas pools in its core areas of the Western Canadian Sedimentary Basin.
View our website at www.manitokenergy.com.