Ember Resources Inc.
TSX : EBR

Ember Resources Inc.

August 09, 2005 08:45 ET

Ember Resources Inc. Announces $50 Million Equity Financing

CALGARY, ALBERTA--(CCNMatthews - Aug. 9, 2005) -

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 law.

Ember Resources Inc. (TSX:EBR) is pleased to announce it has entered into a bought deal financing agreement with a syndicate of underwriters co-led by FirstEnergy Capital Corp. and GMP Securities Inc. and including TD Securities Inc., CIBC World Markets Inc., Canaccord Capital Corporation and Raymond James Ltd. to issue 7.0 million common shares at a price of $7.15 per share on a private placement basis for total gross proceeds of $50,050,000. Completion of this transaction is subject to receipt of all necessary regulatory approvals. This transaction is expected to close in August 2005.

Proceeds from this offering will be used to fund Ember's coal bed methane activities including horizontal drilling on its Mannville properties and development drilling on its Horseshoe Canyon properties.

FORWARD-LOOKING STATEMENTS

This press release may contain forward-looking statements including expectations of future production, cash flow and earnings. These statements are based on current expectations that involve a number of risks and uncertainties, which could cause actual results to differ from those anticipated. These risks include, but are not limited to: the risks associated with the oil and gas industry (e.g., operational risks in development, exploration and production; delays or changes in plans with respect to exploration or development projects or capital expenditures; the uncertainty of reserve estimates; the uncertainty of estimates and projections relating to production, costs and expenses, and health, safety and environmental risks), commodity price and exchange rate fluctuation and uncertainties resulting from potential delays or changes in plans with respect to exploration or development projects or capital expenditures. Additional information on these and other factors that could affect the Company's operations or financial results are included in the Company's reports on file with Canadian securities regulatory authorities.

Ember Resources Inc. is a resource company specializing in coal bed methane (CBM) with extensive land and resource holdings in Alberta, Canada. Ember's shares are traded on the Toronto Stock Exchange under the trading symbol "EBR".

Contact Information

  • Ember Resources Inc.
    Mr. Douglas A. Dafoe
    Chairman & C.E.O.
    (403) 270-0803
    (403) 270-2850 (FAX)
    or
    Ember Resources Inc.
    Mr. Terry S. Meek
    President & C.O.O.
    (403) 270-0803
    (403) 270-2850 (FAX)