Canoro Resources Ltd.

Canoro Resources Ltd.

October 16, 2007 07:45 ET

Canoro Announces Private Placement to CFO and Granting of Options

CALGARY, ALBERTA--(Marketwire - Oct. 16, 2007) - Canoro Resources Ltd. (TSX VENTURE:CNS), in its continuing efforts to strengthen its team's commitment towards the execution of its implementation plans for India, announces a private placement to Brian Gieni, Canoro's VP - Finance and CFO now that all drilling operations have been completed. Mr. Gieni previously indicated his intention to invest in the Company when he commenced employment in August 2007.

The private placement consists of 185,000 common shares at $1.38 per common share, the October 12, 2007 closing price, for total proceeds of $255,300. These securities will be subject to a four-month hold. Net proceeds from the private placement will be added to working capital and used primarily to fund the work programs on the Company's development and exploration blocks in northeast India.

The private placement is subject to TSX Venture Exchange and other regulatory approvals.

Canoro also announces that effective Friday, October 12, 2007, it granted an aggregate of 1,100,000 options to purchase common shares for a five year term under the Company's Stock Option Plan to its directors, executive officers, employees and consultants at an exercise price of $1.38 per share, subject to regulatory approval. The options will vest over three years. The grant of options is consistent with the objective of providing long term incentives to directors, executive officers, employees and consultants of the Company, and continuing to align their interests with that of shareholders of the Company.

Canoro is a Canadian-based international oil and gas company operating in the Assam/Arakan basin of northeast India. Canoro is the operator of Amguri field with a 60% working interest. Canoro is the operator with a 65% working interest in the AA-ON/7 exploration block. Canoro also has a 15% non-operated working interest in the AA-ONN 2003/2 exploration block.

Common shares of Canoro trade on the TSX Venture Exchange under the symbol 'CNS'.

This news release contains certain forward-looking statements, including management's assessment of future plans and operations, and capital expenditures and the timing thereof, that involve substantial known and unknown risks and uncertainties, certain of which are beyond Canoro's control. Such risks and uncertainties include, without limitation, risks associated with oil and gas exploration, development, exploitation, production, marketing and transportation, loss of markets, volatility of commodity prices, currency fluctuations, imprecision of reserve estimates, environmental risks, competition from other producers, inability to retain drilling rigs and other services, delays resulting from or inability to obtain required regulatory approvals and ability to access sufficient capital from internal and external sources, the impact of general economic conditions in Canada, the United States and overseas, industry conditions, changes in laws and regulations (including the adoption of new environmental laws and regulations) and changes in how they are interpreted and enforced, increased competition, the lack of availability of qualified personnel or management, fluctuations in foreign exchange or interest rates, stock market volatility and market valuations of companies with respect to announced transactions and the final valuations thereof, and obtaining required approvals of regulatory authorities. Canoro's actual results, performance or achievements could differ materially from those expressed in, or implied by, these forward-looking statements and, accordingly, no assurances can be given that any of the events anticipated by the forward-looking statements will transpire or occur, or if any of them do so, what benefits, including the amount of proceeds, that Canoro will derive therefrom. Readers are cautioned that the foregoing list of factors is not exhaustive. All subsequent forward-looking statements, whether written or oral, attributable to Canoro or persons acting on its behalf are expressly qualified in their entirety by these cautionary statements. Furthermore, the forward-looking statements contained in this news release are made as at the date of this news release and Canoro does not undertake any obligation to update publicly or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by applicable securities laws.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this News Release.

Contact Information

  • Canoro Resources Ltd.
    Rob McInnis
    Vice President, Business Development and Corporate Affairs
    (403) 543-5748
    (403) 543-5740 (FAX)
    Canoro Resources Ltd.
    2810, 715 - 5th Ave SW
    Calgary, Alberta T2P 2X6