Elkwater Resources Ltd.
TSX VENTURE : ELW

October 03, 2014 16:57 ET

Elkwater Resources Ltd. Announces Completion of Rights Offering

CALGARY, ALBERTA--(Marketwired - Oct. 3, 2014) -

NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

Elkwater Resources Ltd. (TSX VENTURE:ELW) ("Elkwater" or the "Corporation") is pleased to announce the completion of its previously announced rights offering to shareholders of Elkwater (the "Rights Offering"). Under the Rights Offering, holders of common shares of Elkwater ("Common Shares") subscribed for and purchased an aggregate of 4,398,757 Common Shares at a price of $0.10 per Common Share, resulting in gross proceeds to the Corporation of approximately $440,000. The proceeds of the Rights Offering will be used by the Corporation for capital expenditures and for general corporate purposes.

Following the completion of the Rights Offering, Elkwater has approximately 273.5 million Common Shares outstanding (333.5 million fully-diluted).

About Elkwater

Elkwater is a publically traded Calgary, Alberta based company engaged in the oil and gas exploration and development industry. The Common Shares are listed on the TSX Venture Exchange under the trading symbol "ELW".

Forward-Looking and Cautionary Statements

This news release may include forward-looking statements including opinions, assumptions, estimates, and, more particularly, statements concerning the use of proceeds of the Rights Offering. When used in this document, the words "will," "anticipate," "believe," "estimate," "expect," "intent," "may," "project," "should," and similar expressions are intended to be among the statements that identify forward-looking statements.

The forward-looking statements are founded on the basis of expectations and assumptions made by Elkwater. Forward-looking statements are subject to a wide range of risks and uncertainties, and although Elkwater believes that the expectations represented by such forward-looking statements are reasonable, there can be no assurance that such expectations will be realized.

Any number of important factors could cause actual results to differ materially from those in the forward -looking statements including, but not limited to, the ability to implement corporate strategies, the state of domestic capital markets, the ability to obtain financing, changes in general market conditions and other factors more fully described from time to time in the reports and filings made by Elkwater with securities regulatory authorities.

Except as required by applicable laws, Elkwater does not undertake any obligation to publicly update or revise any forward-looking statements.

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.

This press release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities described herein. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act"), or any state securities laws and may not be offered or sold within the United States or to United States Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

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.

Contact Information

  • Elkwater Resources Ltd.
    Doug Bailey
    President and Chief Executive Officer
    403-262-0242

    Elkwater Resources Ltd.
    Neil Burrows
    Vice President, Finance and Chief Financial Officer
    403-262-0242