Alexander Energy Ltd.: Early Warning

CALGARY, ALBERTA--(Marketwired - Dec. 12, 2013) - On December 10, 2013, Alexander Energy Ltd. ("Alexander" or the "Corporation") (TSX VENTURE:ALX) announced that it had closed the first tranche of its non-brokered unit private placement (the "Initial Private Placement"). Pursuant to the Initial Private Placement, the Corporation issued 119,735,183 units (the "Units") at a price of $0.15 per Unit for gross proceeds of $17,960,277.45. Each Unit is comprised of one common share ("Common Share") and one Common Share purchase warrant ("Warrant") entitling the holder to purchase one Common Share at a price of $0.20 per Common Share for a period of five years from the date of issuance, subject to certain vesting thresholds. As at the date hereof, Alexander has 191,633,327 Common Shares and 119,735,183 Warrants outstanding.

In accordance with Multilateral Instrument 62-104 - Take-Over Bids and Issuer Bids and National Instrument 62-103 - The Early Warning System and Related Take-Over Bid and Insider Reporting Issues, pursuant to the Unit Private Placement:

• Mr. Richard F. McHardy, together with his spouse, acquired ownership or control of an aggregate of 26,666,667 Common Shares and 26,666,667 Warrants, representing approximately 13.92% of the total issued and outstanding Common Shares and approximately 22.27% of the total issued and outstanding Warrants.
  
  
• Mr. Fotis Kalantzis, together with his spouse and son, acquired ownership or control of an aggregate of 24,106,666 Common Shares and 24,106,666 Warrants, representing approximately 12.58% of the total issued and outstanding Common Shares and approximately 20.13% of the total issued and outstanding Warrants.
  
  
• Mr. Albert Stark acquired ownership or control of an aggregate of 20,000,000 Common Shares and 20,000,000 Warrants, representing approximately 10.44% of the total issued and outstanding Common Shares and approximately 16.70% of the total issued and outstanding Warrants.
  
  

The Common Shares and Warrants were acquired for investment purposes. Each of Mr. McHardy, Mr. Kalantzis, Mr. Stark and their family members, as applicable, may from time to time on an individual or joint basis acquire additional securities of the Corporation, dispose of some or all of the existing or additional securities he holds or will hold, or may continue to hold his current position.

All of the securities purchased were acquired in reliance on either the accredited investor or the family, friends and business associate exemptions of National Instrument 45-106 - Prospectus and Registration Exemptions. Copies of the early warning reports for the individuals listed above will be filed on SEDAR and may also be obtained by contacting the individual listed below.