Bridge Resources Corp.

Bridge Resources Corp.

May 17, 2010 14:45 ET

Bridge Resources Corp. Closes Bought Deal Financing

CALGARY, ALBERTA--(Marketwire - May 17, 2010) -


Bridge Resources Corp. (TSX VENTURE:BUK) (the "Company") is pleased to announce that it has closed its previously announced bought deal private placement financing, including partial exercise of the underwriters' option, for total gross proceeds of $8,662,000 (the "Offering"). Pursuant to the Offering, the Company has issued 17,324,000 units of the Company ("Units") at a price of $0.50 per Unit. The Offering was completed by a syndicate of underwriters led by Mackie Research Capital Corporation and including PI Financial Corp. and Byron Securities Limited (the "Underwriters").

Each Unit issued pursuant to the Offering consists of one common share of the Company ("Common Share") and one-half of one Common Share purchase warrant ("Warrant"). Each whole Warrant shall be exercisable into one Common Share for a period of 18 months following the closing of the Offering at a price of $0.75 per Common Share, provided that if the closing price of the Common Shares on the TSX Venture Exchange for a period of 20 consecutive trading days is at least $1.00 per Common Share, the Company will be entitled to provide notice to the holders of the Warrants advising that the Warrants will expire on the date specified in such notice (which date will be not less than thirty days after such notice) if not exercised prior to such early expiry date. All of the securities issued in connection with the Offering are subject to a four month hold period in accordance with applicable securities laws and TSX Venture Exchange policy.

The proceeds received by the Company from the sale of the Units will be used by the Company for the ongoing exploration and development of its gas and condensate properties in Idaho.

In consideration for their services, the Underwriters received a cash commission of 6.0% of the gross proceeds of the Offering and non-transferable common share purchase warrants equal to 6.0% of the Units issued pursuant to the Offering.

Following the completion of the Offering, the Company has 159,281,246 Common Shares issued and outstanding. The Offering is subject to final TSX Venture Exchange acceptance.

The securities offered have not been registered under the U.S. Securities Act of 1933, as amended, or any state securities laws, and may not be offered or sold in the United States absent registration or an exemption from the registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.

Cautions Regarding Forward-Looking Statements

Statements in this press release may contain forward-looking information including expectations of commerciality of any discovery, 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 development and production, delays or changes in plans, risks associated to the uncertainty of reserve estimates, or reservoir performance, 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.

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.

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