Donnybrook Energy Inc.
TSX VENTURE : DEI

Donnybrook Energy Inc.

December 22, 2010 17:46 ET

Donnybrook Energy Inc. - Private Placement

CALGARY, ALBERTA--(Marketwire - Dec. 22, 2010) - Donnybrook Energy Inc. (TSX VENTURE:DEI) -

NOT FOR DISSEMINATION INTO THE UNITED STATES OF AMERICA OR DISTRIBUTION TO U.S. NEWSWIRE SERVICES

Malcolm Todd, Chief Executive Officer of Donnybrook Energy Inc. reports that the Company has closed $3,322,508.63 under its previously announced private placement. The funds were raised through the issuance of 7,338,000 non-flow-through units ("NFT Units") at a price of $0.40 per NFT Unit, and 815,386 flow-through shares ("FT Shares") at a price of $0.475 per FT Share.

Each NFT Unit consisted of one common share and one half of one common share purchase warrant. Each whole warrant will entitle the holder, on exercise, to acquire one non-flow-through common share at a price of $0.55 expiring 12 months from date of issue. The shares, FT Shares and any shares issued upon the exercise of warrants, issued as part of the NFT Units have a hold period expiring 4 months from date of issue.

In conjunction with the private placement, the Company has paid finder's fees of $22,393, issued 54,880 finder's warrants and 484,751 finder's NFT Units. The finder's warrants are exercisable into one common share at a price of $0.55 expiring 12 months from date of issue.

The Company has also granted 2,250,000 incentive stock options to certain of its directors, officers, employees, and consultants exercisable at a price of $0.40 per share for a period of three years.

Donnybrook is an emerging Canadian oil and natural gas exploration and production company, focused on horizontal multi-stage frac development in the liquid-rich Montney and Bluesky formations in the Deep Basin area of west central Alberta.

ON BEHALF OF THE BOARD OF DONNYBROOK ENERGY INC.

Malcolm Todd, Chief Executive Officer

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 news release.

Contact Information

  • Donnybrook Energy Inc.
    Malcolm Todd
    Chief Executive Officer
    (604) 684-2356
    (604) 684-4265 (FAX)