Detector Exploration Ltd.

March 16, 2009 18:09 ET

Detector Exploration Ltd.: Additional Loan From Insider and Provision of Security for Loans

CALGARY, ALBERTA--(Marketwire - March 16, 2009) - Detector Exploration Ltd. ("Detector") (TSX VENTURE:DEX) further to Detector's press release and material change report dated March 11, 2009 (and filed on SEDAR on March 12, 2009) announces that Ronald E. Alexander ("Alexander") has loaned $300,000 to Detector. This loan was advanced on March 16, 2009. This loan pays interest at 12% per annum and can be demanded at any time by Alexander (on 30 days prior notice). Detector can repay all or any portion of the loan at any time. The loan is fully secured by a general security agreement and land charge in favour of Alexander. As at March 16, 2009, the total amount of secured borrowings by Detector from Alexander was $500,000 (not including accrued interest). Approvals and authorizations currently in place could allow Detector to borrow an additional $100,000 from Alexander (if Alexander agrees to advance additional funds).

Detector has no bank loans and has no outstanding security in favour of any financial institution. Thus it is expected that the security granted to Alexander shall qualify for first priority status.

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

As of March 16, 2009 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 convertible debentures outstanding 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 upon exercise of the convertible debentures and all the warrants were exercised.

The officer responsible for issuance of this press release and who may be contacted for further information is Ronald E. Alexander.

Neither 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.

Contact Information

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