Enterprise Energy Resources Ltd.
TSX VENTURE : EER

Enterprise Energy Resources Ltd.

March 01, 2011 08:00 ET

Enterprise Completes Acquisition of 50% Interest in Chimney Sweep Oil and Gas

VANCOUVER, BRITISH COLUMBIA--(Marketwire - March 1, 2011) - Enterprise Energy Resources Ltd. (the "Company") (TSX VENTURE:EER) is pleased to announce that its wholly owned subsidiary, EERL Energy Limited Partnership ("EERL"), has completed its previously announced acquisition of a 50% interest in Chimney Sweep Oil and Gas (US) L.L.L.P. ("Chimney Sweep").

Concurrent with the closing of the acquisition, the Company completed its previously announced non-brokered private placement of 16,666,666 units of the Company (the "Units") at a price of $0.30 per Unit for gross proceeds of $5,000,000. The Units are subject to a four month hold period expiring June 26, 2011.

Each Unit consists of one common share and one-half of one common share purchase warrant (each whole such warrant, a "Warrant"). Each Warrant will entitle the holder to purchase an additional common share for a period of 24 months from the closing date. 

In accordance with the policies of the TSX Venture Exchange, the exercise price for the Warrants has been increased to $0.50 per Warrant.

The proceeds of the private placement will be used to fund the investment by EERL in Chimney Sweep.

ENTERPRISE ENERGY RESOURCES LTD.

Geoffrey Carrington, President & CEO

Cautionary Note Regarding Forward-Looking Statements

Certain statements in this press release constitute "forward-looking statements". Such forward-looking statements include, without limitation, the use of proceeds of the financing. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company's expectations include operational risks, the effects of general economic conditions, changing foreign exchange rates and actions by government authorities, uncertainties associated with legal proceedings. The Company's forward-looking statements reflect the beliefs, opinions and projections on the date the statements are made. The Company assumes no obligation to update forward-looking information should circumstances or management's estimates or opinions change, except as required by law.

Shares Outstanding: 21,706,782

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

  • Enterprise Energy Resources Ltd.
    Investor Relations
    1-604-639-4672
    info@eerl.ca