C1 Energy Ltd.
TSX : CTT

C1 Energy Ltd.

May 25, 2005 13:00 ET

C1 Energy Ltd. Announces Increase In Size Of Bought Deal Private Placement Financing

CALGARY, ALBERTA--(CCNMatthews - May 25, 2005) -

NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE U.S.

C1 Energy Ltd. ("C1 Energy" or the "Company")(TSX:CTT) is pleased to announce that it has increased the size of its previously announced "bought deal" private placement by an additional $2.5 million, comprised of an additional 851,064 common shares and 166,667 flow-through common shares. In total, C1 Energy has agreed to issue 4,255,320 common shares at $2.35 per share and 833,334 flow-through common shares at $3.00 per share for total gross proceeds of $12.5 million pursuant to a financing agreement entered into with an underwriting syndicate led by Sprott Securities Inc. and including GMP Securities Ltd. and FirstEnergy Capital Corp.

The private placement is scheduled to close on or about June 14, 2005 and is subject to certain conditions including, but not limited to, the receipt of all necessary approvals including the approval of the Toronto Stock Exchange.

Proceeds of the offering will be used to expand C1 Energy's 2005 capital program and for general corporate purposes.

The securities offered have not been and will not be registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or applicable 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.

Contact Information

  • C1 Energy Ltd.
    Hugh Pattillo
    President and CEO
    (403) 232-1115
    or
    C1 Energy Ltd.
    Gary Lobb
    Vice-President, Finance & CFO
    (403) 232-1115