Canadian Energy Exploration Inc.

February 19, 2010 06:30 ET

Canadian Energy Exploration Inc. Announces Management Team & $1,500,000 Private Placement

CALGARY, ALBERTA--(Marketwire - Feb. 19, 2010) - Canadian Energy Exploration Inc. (the "Company") (TSX VENTURE:XPL) is pleased to announce that it proposes to complete a non-brokered private placement financing (the "Offering") of common shares ("Common Shares") at a price of $0.15 per Common Share and flow-through common shares ("Flow-Through Shares") at a price of $0.20 per Flow-Through Share for aggregate gross proceeds of up to $1,500,000. Officers and directors of the Company may subscribe under the Offering for proceeds up to $500,000.

The gross proceeds from the sale of the Flow-Through Shares will be used to incur Canadian Exploration Expenses ("CEE") for the purposes of the Income Tax Act (Canada) and such CEE will be renounced for the 2010 taxation year. The net proceeds from the sale of the Common Shares will be used to fund the Company's ongoing capital program and for general working capital purposes. All securities issued in connection with the Offering will be subject to a four month hold period. The Offering is scheduled to close on or about February 26, 2010 and is subject to the completion of formal documentation and regulatory approval, including the conditional approval of the TSX Venture Exchange. The Company may pay commissions to brokers or others that assist it in the completion of this placement.

The Company further announces the following appointments; Eric Leslie as Chief Operating Officer and Director of the Company and Robert Thomson as Vice President Exploration of the Company. Mr. Leslie's career in the oil & gas industry commenced in 1978. Over the past 5 years Mr. Leslie has served as a senior officer and director of a number of private and public oil & gas exploration companies. Mr. Thomson is a Professional Geologist with over 23 years experience in the oil & gas industry. Since beginning his career in 1986, Mr. Thomson has worked on a wide variety of Canadian and international exploration and development projects with both major and junior oil & gas companies based in Calgary. The Company's management team is in the process of vetting and conducting due diligence on a number of drilling and production acquisition opportunities. Mr. George Tsafalas, Chief Financial Officer and Director of the Company stated "We are pleased with the new additions to our management team and are looking forward to completing our proposed private placement. The stage is now set for us to build the foundation from which we will be growing the Company."

On June 16, 2009, one of the two predecessor companies to the Company, entered into a farmout agreement in the Karr Area of Alberta ("the Farmout Agreement") with a major oil & gas company ("Major"). The Company has delivered notice to the Major advising that the Company has forfeited its previously paid $50,000 deposit under the Farmout Agreement and that the Company will not be pursuing earning an interest in the Farmout Agreement.

About Canadian Energy Exploration Inc.

Canadian Energy Exploration is a junior oil and gas company engaged in the exploration for and development and production of natural gas and oil reserves. The Company's Common Shares are listed to trade on the TSX Venture Exchange under the symbol "XPL".

This press release shall not constitute an offer to sell or the solicitation of an offer to buy any securities of the Company in any jurisdiction in which such offer, solicitation or sale would be unlawful. The securities to be offered have not been and will not be registered under the United States Securities Act of 1933, as amended, or any state securities laws and may not be offered or sold within the United States or to or for the account or benefit of a U.S. Person absent registration or an applicable exemption from the registration requirements of such Act or laws. Certain statements and information contained in this press release, including but not limited to statements regarding the expected closing date and the amount and use of proceeds and drilling and production opportunities contain forward-looking statements. All statements other than statements of historical fact may be forward looking statements. These statements, by their nature, are subject to numerous risks and uncertainties, some of which are beyond the Company's control including the effect of general economic conditions, industry conditions, changes in regulatory and taxation regimes, volatility of commodity prices, escalation of operating and capital costs, currency fluctuations, the availability of services, imprecision of reserve estimates, geological, technical, drilling an processing problems, environmental risks, weather, the lack of availability of qualified personnel or management, stock market volatility, the ability to access sufficient capital from internal and external sources and competition from other industry participants for, among other things, capital, services, acquisitions of reserves, undeveloped lands and skilled personnel that may cause actual results or events to differ materially from those anticipated in the forward looking statements. Such forward-looking statements although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated in the statements made and should not unduly be relied on. These statements speak only as of the date of this press release. The Company does not intend and does not assume any obligation to update these forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable law. The Company's business is subject to various risks that are discussed in its filings on the System for Electronic Document Analysis and Retrieval (SEDAR).

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.

Contact Information

  • For information on the Company or the
    Offering please contact:
    Canadian Energy Exploration Inc.
    Eric Leslie, C.O.O.
    (403) 229-2800