Detector Exploration Ltd.

June 18, 2008 17:49 ET

Detector Closes Private Placement of Convertible Debentures

CALGARY, ALBERTA--(Marketwire - June 18, 2008) - Detector Exploration Ltd. (TSX VENTURE:DEX) ("Detector") has completed the issuance of $495,000 of Prime +3% April 30, 2010 maturity convertible debentures (the "Debentures"), which will be convertible at $0.40 per Common Share from to and including April 30, 2009 and $0.50 per Common Share from May 1, 2009 to and including April 30, 2010; and which are redeemable by the Corporation at any time after May 1, 2009 upon 14 days notice (the "Debentures"). Upon conversion into Commons Shares warrants shall also be issued in a number equal to 1/2 of the number of Common Shares acquired on conversion (each warrant exercisable until April 30, 2010 to acquire 1 common shares at $0.65 per share) (the "Warrants").

A total of 6 subscribers purchased debentures. 2 of the subscribers (who acquired collectively $300,000 worth of debentures units are "related parties" to Detector.

Detector is an oil and gas corporation whose shares are listed for trading on TSX Venture Exchange Inc. under the symbol DEX.

As of June 18, 2008 Detector has outstanding 11,918,701 Common Shares and 590,000 options to acquire Common Shares (under Detector's stock option plan). A total of 1,237,500 additional Common Shares would be issuable if the entire amount of $495,000 Debentures were converted at the conversion price currently in effect (i.e. $0.40). A total of 618,750 additional Common Shares would be issuable if the maximum number of Warrants were issued and all were exercised.

Additionally, Detector has determined that Detector's "public float" (the number of shares outstanding not held by directors, officers, promoters, 10% shareholders or their affiliates, spouses, and other associates and not under any hold period or escrow restrictions) is 5,736,585 based on information provided to Detector by its insiders.

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

Contact Information

  • Detector Exploration Ltd.
    Ronald E. Alexander
    (403) 264-1880
    Detector Exploration Ltd.
    Edward A. James
    (403) 264-1880
    (403) 265-9105 (FAX)
    Detector Exploration Ltd.
    Suite #650, 520 - 5th Avenue S.W.
    Calgary, Alberta, T2P 3R7