Niko Resources Ltd.
TSX : NKO

Niko Resources Ltd.

January 18, 2007 23:59 ET

Niko Announces $163 Million Common Share Financing

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Jan. 18) -

NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

Niko Resources Ltd. (TSX:NKO) is pleased to announce that it has entered into a bought deal financing agreement with a syndicate of underwriters led by Canaccord Capital Corporation and including FirstEnergy Capital Corp., Orion Securities Inc., Tristone Capital Inc., UBS Securities Canada Inc., Sprott Securities Inc., Maison Placements Canada Inc., and Fraser Mackenzie Limited to issue 2,000,000 common shares at a price of $81.50 per share for gross proceeds of approximately $163 million. In addition, the underwriters will have an option to purchase an additional 300,000 common shares at a price of $81.50 per common share, exercisable in whole or in part at the sole discretion of the underwriters for a period of 30 days from the closing of the offering for the purpose of covering the underwriters' over-allocation position. Niko Resources Ltd. will apply the proceeds of this issue towards its exploration and development program and for general corporate purposes.

Niko Resources Ltd. is an international oil and natural gas exploration, development and production company with operations focused in India, Bangladesh and Thailand.

This news release is not for dissemination in the United States or to any United States news services. The common shares of Niko have not and will not be registered under the United States Securities Act of 1933, as amended (the "U.S." Securities Act") or any state securities laws and may not be offered or sold in the United States or to any U.S. person except in certain transactions exempt from the registration requirements of the U.S. Securities Act and applicable state securities laws.

Contact Information

  • Niko Resources Ltd.
    Edward S. Sampson
    Chairman of the Board, President and Chief Executive Officer
    (403) 262-1020
    or
    Niko Resources Ltd.
    Murray Hesje
    Vice President, Finance
    (403) 262-1020
    Website: www.nikoresources.com