Yonge Street Capital Corp

October 05, 2009 13:01 ET

Yonge Street Announces Completion of RTO and Financing / Listing on CNSX

TORONTO, ONTARIO--(Marketwire - Oct. 5, 2009) – Yonge Street Capital Corp. (the "Company") (CNSX:ECS) is pleased to announce that it has completed its previously announced reverse take-over of Endeavour Energy (Bengkulu) Pty Ltd ("EEB"), a private Australian company exploring for oil and gas in Sumatra, Indonesia, and related $2,002,000 private placement financing. Reference should be made to the Company's press release of September 28, 2009 for further details of the transaction and the post-transaction company.

The Company has called a special shareholders meeting for November 25, 2009 at which it will seek approval to change its corporate name to "Ecosse Energy Corp." In contemplation of this change, the Company has registered the business name "Ecosse Energy" as a trade name.

Immediately prior to the completion of the transaction, the common shares of the Company were voluntarily delisted from the NEX Board of the TSX Venture Exchange and will commence trading on the Canadian National Stock Exchange at the opening today under the trading symbol "ECS". Following the completion of the transaction, the Company has 44,279,686 common shares issued and outstanding and 49,382,561 shares outstanding on a fully diluted basis.

EEB is the holder of a 100% Working Interest in the Bengkulu PSC, covering a highly prospective onshore and offshore area of approximately 1,013,602 acres or 4,102 sq. km. located in the Bengkulu Province in South West Sumatra, Indonesia. The Bengkulu PSC is for 30 years until October 5, 2035.

EEB has identified two prospects and one lead onshore as well as sixteen prospects and leads offshore for further exploration in the Bengkulu PSC.

Proceeds from the private placement are to be used to perform geological and geophysical work to finalise onshore well locations; to pay for fees and expenses related to the RTO, financing and CNSX listing; and to further define and estimate offshore potential resources, as well as to fund general working capital.

Following the transaction, Alan W. Morrison of Jakarta, Indonesia, the President and Chief Executive Officer of the Company, directly owns 8,000,000 common shares (18.1% of the number of outstanding common shares) and 1,200,000 stock options to acquire a further 1,200,000 shares. Mr. Morrison owned no securities of the Company prior to the completion of the transaction. Mr. Morrison has advised the Company that he has acquired these securities for investment purposes and that he does not have any present intention to acquire additional securities of the Company other than upon the exercise of the stock options that he holds, should he wish to do so, although he may in the future acquire or dispose of securities of the Company, through the market, privately or otherwise, as circumstances or market conditions warrant.

About the Company

Through its Australian subsidiary, Endeavour Energy (Bengkulu) Pty Ltd. ("EEB"), the Company is exploring for oil and gas on an onshore and offshore area of approximately 1,013,602 acres or 4,102 sq. km. covered by the Bengkulu Production Sharing Contract in Sumatra, Indonesia.

Further information concerning the Company can be found at www.sedar.com.

Neither the Canadian National Stock Exchange nor its regulation services provider accepts responsibility for the adequacy or accuracy of this release.

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