Southern Pacific Resource Corp.
TSX VENTURE : STP

Southern Pacific Resource Corp.

June 08, 2007 12:21 ET

Southern Pacific Increases Private Placement to $32,001,500

CALGARY, ALBERTA--(Marketwire - June 8, 2007) -

NOT FOR DISSEMINATION IN THE UNITED STATES OF AMERICA.

Southern Pacific Resource Corp. (TSX VENTURE:STP) ("Southern Pacific" or the "Corporation") is pleased to announce that it has agreed to increase to $32,001,500 (the "Offering") the financing it announced earlier today. The Offering will now comprise up to 11,035,000 units of the Corporation ("Units") at a price of $2.90 per Unit. Each Unit will consist of one common share of Southern Pacific ("Common Share") and one half of one Common Share purchase warrant ("Warrant"). Each whole Warrant will entitle the holder thereof to purchase one Common Share at any time for a period of 12 months following the closing date at a price of $4.00 per Common Share. A cash commission of 6% will be paid on the gross proceeds of the Offering. The Offering is expected to close on or about June 22, 2007.

The Offering is being completed by a syndicate of agents led by Canaccord Capital Corporation, including Jones, Gable & Company Limited and Blackmont Capital Inc.

The proceeds of the Offering are expected to be partially used to complete the acquisition announced on June 1, 2007 (the "Acquisition") to acquire an 80% interest in 76 sections (38,912 acres net to Southern Pacific) of land in the Fort McMurray area of the Athabasca Oilsands fairway.

The Offering and Acquisition are subject to TSX Venture Exchange acceptance. There is no assurance the Offering or the Acquisition will be completed.

Safe Harbour

Statements in this press release may contain forward-looking information including expectations of future operations, operating costs, commodity prices, administrative costs, commodity price risk management activity, acquisitions and dispositions, capital spending, access to credit facilities, income and oil taxes, regulatory changes, and other components of cash flow and earnings. The reader is cautioned that assumptions used in the preparation of such information may prove to be incorrect. Events or circumstances may cause actual results to differ materially from those predicted, a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of the company. These risks include, but are not limited to, the risks associated with the oil and gas industry, commodity prices and exchange rate changes. Industry related risks could include, but are not limited to, operational risks in exploration, development and production, delays or changes in plans, risks associated to the uncertainty of reserve estimates, health and safety risks and the uncertainty of estimates and projections of production, costs and expenses. The reader is cautioned not to place undue reliance on this forward-looking information.

This news release shall not constitute an offer to sell or the solicitation of any offer to buy securities of the Corporation in any jurisdiction, including the United States. The securities of the Corporation have not been 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 have not been and will 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.

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

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