NuLoch Resources Inc.
TSX VENTURE : NLR.A
TSX VENTURE : NLR.B

NuLoch Resources Inc.

October 06, 2009 14:03 ET

NuLoch Resources Closes $26.8 Million Bought Deal Financing

CALGARY, ALBERTA--(Marketwire - Oct. 6, 2009) -

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

NuLoch Resources Inc. ("Nuloch") (TSX VENTURE:NLR.A) (TSX VENTURE:NLR.B) announces that it has closed its previously announced bought deal equity financing underwritten by Genuity Capital Markets.

In total, NuLoch has issued, by way of private placement, 10,100,000 Class A flow-through common shares at $0.80 per share and 26,758 Units, including 2,458 over-allotment Units, at $700.00 per Unit for total gross proceeds of $26,810,600. Each Unit consists of 118 common shares of NuLoch (the "Common Shares") and 882 subscription receipts of NuLoch (the "Subscription Receipts").

Each Subscription Receipt will entitle the holder to acquire one Common Share without the payment of any additional consideration upon the closing of the previously announced acquisition of petroleum and natural gas properties in the Williston Basin region of the United States (the "Acquisition"). If the Acquisition does not close on or before November 30, 2009, or such other date as may be agreed upon by NuLoch and the Underwriter, NuLoch is obligated to repurchase the Subscription Receipts from the holders thereof in consideration of the refund of the applicable portion of the subscription proceeds. However, Subscription Receipt holders were also granted the right to acquire a Common Share should the Acquisition not close.

As a part of their compensation, the Underwriter has been issued compensation options entitling the Underwriter to subscribe for 1,105,740 Common Shares, with an exercise price of $0.70. The compensation options expire on April 6, 2010.

Nuloch now has 53,687,243 Class A common shares, 23,600,556 Subscription Receipts exchangeable for Class A common shares and 652,500 Class B common shares issued and outstanding.

The Class A flow-through common shares, the Common Shares and any Common Shares issued pursuant to the Subscription Receipts will be subject to a four month hold period which will expire on February 7, 2010.

Proceeds from this offering will be used to fund NuLoch's capital program, the Williston acquisition, and for general corporate purposes.

The Class A common shares of NuLoch 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.

Advisory: Neither 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

  • NuLoch Resources Inc.
    R. Glenn Dawson
    President and CEO
    (403) 920-0455
    Fax: (403) 920-0457
    nuloch@nuloch.ca

    or

    NuLoch Resources Inc.
    2200, 444 - 5th Avenue SW
    Calgary, Alberta T2P 2T8