CaiTerra International Energy Corporation
TSX VENTURE : CTI

CaiTerra International Energy Corporation

October 30, 2014 17:53 ET

CaiTerra International Energy Corporation Announces $5.0 Million Non-Brokered Private Placement of Common Shares and Flow-Through Common Shares

CALGARY, ALBERTA--(Marketwired - Oct. 30, 2014) - CaiTerra International Energy Corporation (TSX VENTURE:CTI) (the "Company") announces that it intends to complete a non-brokered private placement of: (i) up to 14,000,000 common shares of the Company ("Common Shares") at a price of $0.25 per Common Share; and (ii) up to 5,000,000 common shares of the Company issued on a "flow-through" basis pursuant to the Income Tax Act (Canada) with respect to Canadian exploration expense ("Flow-Through Shares") at a price of $0.30 per Flow-Through Share (collectively, the "Private Placement"), for aggregate gross proceeds of up to $5.0 million. The Company may pay a cash finder's fee of up to $350,000, representing up to 7% of the gross proceeds raised in the Private Placement.

The net proceeds from the sale of the Flow-Through Shares will be used to fund the Company's exploration program in northern Alberta which qualify as "Canadian Exploration Expenses", within the meaning of the Income Tax Act (Canada). The net proceeds from the sale of the Common Shares will be used to fund the Company's other exploration expenses and for general corporate purposes.

The Private Placement is subject to customary conditions and the receipt of required regulatory approvals, including the approval of the TSX Venture Exchange. The Common Shares and the Flow-Through Shares issuable pursuant to the Private Placement will be subject to a four-month hold period under applicable Canadian securities laws.

Neither the 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.

The information and statements in this news release contains certain forward looking information. This forward looking information relates to future events or future performance. In particular, this document contains forward looking information and statements regarding the size, pricing and completion of the Private Placement and the use of proceeds of the Private Placement. All statements other than statements of historical fact may be forward-looking information. This forward looking information is subject to certain risks and uncertainties and may be based on assumptions that could cause actual results to differ materially from those anticipated or implied in the forward looking information. No assurances can be given that any of the events anticipated by the forward looking information will transpire or occur or, if any of them do, what benefits that the Company will derive from them. Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward looking information prove incorrect, actual results, performance or achievements could vary materially from those expressed or implied by the forward-looking information.

Accordingly, prospective investors should not place undue reliance on these forward-looking statements. The Company's forward-looking information is expressly qualified in its entirety by this cautionary statement. These forward-looking statements are made as of the date of this press release and, except as required by law, the Company undertakes no obligation to publicly update or revise any forward-looking information.

This news release shall not constitute an offer to sell or the solicitation of an offer to buy any securities in the United States, nor shall there be any sale of the Common Shares or Flow-Through Shares in any jurisdiction in which such offer, solicitation or sale may be unlawful. The Common Shares and the Flow-Through Shares have not been and will not be registered under the 1933 Act or any U.S. state securities laws and may not be offered or sold in the United States absent registration under the 1933 Act or an applicable exemption from the registration requirements of the 1933 Act and applicable U.S. state securities laws.

Contact Information

  • Songning Shen
    Chief Executive Officer
    CaiTerra International Energy Corporation
    Suite 800, 717-7th Avenue S.W. Calgary AB, T2P 0Z3
    Contact Number: (587) 353-3711