Shelton Canada Corp.
TSX VENTURE : STO

Shelton Canada Corp.

July 15, 2009 16:03 ET

Shelton Announces Private Placement

CALGARY, ALBERTA--(Marketwire - July 15, 2009) - Shelton Canada Corp. ("Shelton" or the "Company") (TSX VENTURE:STO) announces that, subject to regulatory approval, it intends to complete a brokered offering of common shares ("Common Shares") at a price of $0.13 per Common Share (the "Offering"). The Offering is subject to a minimum of 11,384,615 Common Shares for minimum gross proceeds of $1,480,000 and a maximum of 16,923,076 Common Shares for maximum gross proceeds of $2,200,000.

Shelton intends to use the proceeds from the Private Placement to repay its 500,000 USD indebtedness to TFS and for financing projects in the Ukraine and for general working capital purposes.

In connection with the Offering, Shelton has agreed to pay a broker's fee of 8% of the gross proceeds of the sale of the Common Shares to Alpcot Capital Management upon closing of the Offering by the issuance of Common Shares of the Corporation at a deemed price of $0.13 per Common Share.

About Shelton Canada Corp.:

Shelton Canada Corp. (www.sheltoncdn.com) is a junior oil and gas company actively engaged in exploration and development activities in Ukraine. It has internationally experience Board of Directors. It has assembled a strong portfolio of oil and gas projects onshore and offshore, strategically balancing low-cost development and lower-risk exploitation targets with carefully assessed, higher-risk, higher-yield exploration opportunities. Shelton 's shares trade on the TSX Venture Exchange under the symbol STO.

Forward-Looking Information

Except for statements of historical fact relating to the company, this news release may contain certain "forward-looking information" within the meaning of applicable securities law including opinions, assumptions, estimates and management's assessment of future plans and operations, budgeted capital expenditures and funding thereof. Forward-looking information in this news release is characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate", and other similar words, or statements that certain events or conditions "may" "will" or "could" occur. There are uncertainties inherent in forward-looking information, including factors beyond Shelton's control, and no assurance can be given that such events will occur on time or at all. Any number of important factors could cause actual results to differ materially from those in the forward-looking statements including the possibility of not achieving the funding mentioned in this press release. BOEs may be misleading, particularly if used in isolation. A BOE conversion ratio of 6 Mcf: 1 bbl is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead.

"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