Condor Petroleum Inc.
TSX : CPI

Condor Petroleum Inc.

May 12, 2011 09:20 ET

Condor Petroleum Inc. Announces Partial Exercise of Over-Allotment Option

CALGARY, ALBERTA--(Marketwire - May 12, 2011) -

NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES. ANY FAILURE TO COMPLY WITH THIS RESTRICTION MAY CONSTITUTE A VIOLATION OF U.S. SECURITIES LAWS

Condor Petroleum Inc. ("Condor" or the "Corporation") (TSX:CPI) is pleased to announce that the agents for Condor's recent initial public offering (the "Offering") have partially exercised the over-allotment option granted to them pursuant to the Offering, and have purchased an additional 5,445,563 common shares, at a price of CDN$1.40 per common share, for gross proceeds to the Corporation of CDN$7,623,788 (the aggregate gross proceeds of the Offering, including the partial exercise of the over-allotment option, are CDN$87,623,788). The Offering was carried out by a syndicate of investment dealers led by FirstEnergy Capital Corp., and included UBS Securities Canada Inc., Raymond James Ltd., Dundee Securities Ltd., Haywood Securities Inc., and Jennings Capital Inc.

The net proceeds from the Offering (including the net proceeds from the partial exercise of the over-allotment option) of CDN$82,366,361 are expected to be used to finance the continuation of the Corporation's oil and natural gas exploration programs in Kazakhstan, to initiate sustainable oil production in Kazakhstan, to fund the Corporation's 2011 and 2012 exploration drilling and seismic programs, and to explore and pursue opportunities that may increase shareholder value.

United States Advisory

The securities referred to herein have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act"), and may not be offered or sold in the United States unless the securities are registered under the U.S. Securities Act, or an exemption from the registration requirements of the U.S. Securities Act is available. This press release shall not constitute an offer to sell or the solicitation of an offer to buy any securities, nor shall there be any sale of securities in any state in the United States in which such offer, solicitation or sale would be unlawful.

About Condor Petroleum Inc.

Condor is a junior oil and natural gas corporation engaged in the exploration for, and the acquisition, development and production of oil and natural gas resources in Kazakhstan and Canada.

Forward-Looking Statements

This press release contains forward-looking information that involves substantial known and unknown risks and uncertainties, most of which are beyond the control of Condor, including, without limitation, those listed under the headings "Special Note Regarding Forward-Looking Statements" and "Risk Factors" in Condor's final prospectus. Forward-looking information in this press release includes, but is not limited to, information concerning the proposed use of the net proceeds from the Offering. 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, readers should not place undue reliance on these forward-looking statements. These forward-looking statements are made as of the date of this release and, other than as required by applicable securities laws, Condor does not assume any obligation to update or revise them to reflect new events or circumstances.

Contact Information

  • Condor Petroleum Inc.
    Don Streu
    President & Chief Executive Officer
    (403) 201-9694

    Condor Petroleum Inc.
    Sandy Quilty
    Vice President, Finance & Chief Financial Officer
    (403) 201-9694