Bronco Energy Ltd.
TSX VENTURE : BCF

Bronco Energy Ltd.

July 06, 2007 12:10 ET

Bronco Closes Private Placement

CALGARY, ALBERTA--(Marketwire - July 6, 2007) -

NOT FOR DISSEMINATION OR DISTRIBUTION IN THE UNITED STATES OR TO UNITED STATES NEWS WIRE SERVICES.

Bronco Energy Ltd. ("Bronco") (TSX VENTURE:BCF) is pleased to announce that it has completed its private placement for gross proceeds of $30,510,000. The successful offering resulted in the issuance of 2,700,000 common shares of the Corporation at a price of $11.30 per share. All of the common shares issued under the private placement are subject to a four-month hold period in Canada, which will expire on November 7, 2007.

RBC Capital Markets acted as lead underwriter on the private placement with the balance of the syndicate being TD Securities Inc. and Westwind Partners Inc. As compensation for the services provided, the agents received an aggregate cash commission of 6.0% of the gross proceeds from sales of common shares under the offering. As a result of the private placement, Bronco now has 31,652,680 common shares issued and outstanding. Officers and other insiders of Bronco participated in the offering.

The net proceeds from this offering will be used to fund Bronco's exploration, development, and acquisition programs as well as for general corporate purposes.

Bronco Energy Ltd. trades on the TSX Venture Exchange under the symbol "BCF".

This news release contains forward-looking statements which involve known and unknown risks, delays and uncertainties not under Bronco's control which may cause actual results, performance or achievements of Bronco to be materially different from the results, performance or expectations implied by these forward-looking statements.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy the securities in any jurisdiction. The securities offered have not and will not be registered under the United States 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 applicable exemption from the registration requirement.

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

Contact Information

  • Bronco Energy Ltd.
    Brian Alford
    President and Chief Executive Officer
    (403) 699-8383
    (403) 693-0038 (FAX)
    or
    Bronco Energy Ltd.
    David Johnson
    Chief Financial Officer
    (403) 699-8383
    (403) 693-0038 (FAX)