September 23, 2005 09:40 ET

Arapahoe Energy Corporation Announces $2,000,000 Private Placement

CALGARY, ALBERTA--(CCNMatthews - Sept. 23, 2005) - Arapahoe Energy Corporation (the "Corporation") (TSX VENTURE: AAO) is pleased to announce that it has entered into an engagement letter with Dominick & Dominick Securities Inc. for the private placement of 1,333,333 Common Shares of the Corporation, to be issued as "flow-through shares" within the meaning of the Income Tax Act, at the price of $0.75 per share ($1,000,000) and 1,538,462 Common Shares of the Corporation at the price of $0.65 per share ($1,000,000) for aggregate gross proceeds of $2,000,000. The closing of this financing is subject to receipt of normal course regulatory approvals. The proceeds of the private placement will be to fund the Corporation's 2005 exploration drilling program and for general working capital purposes.

The Corporation is a publicly traded junior oil and natural gas exploration company with its shares listed on the TSX Venture Exchange under the trading symbol "AAO". The Corporation is engaged in the exploration, development and production of oil and natural gas in Western Canada.

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

Contact Information

  • Arapahoe Energy Corporation
    Jeffrey L. Standen
    Chief Executive Officer and President
    (403) 920-0040 (ext. 1)