Eurocontrol Technics Inc.
TSX VENTURE : EUO

Eurocontrol Technics Inc.

July 06, 2009 18:03 ET

Eurocontrol Closes First Tranche of Private Placement Financing

TORONTO, ONTARIO--(Marketwire - July 6, 2009) -

NOT FOR RELEASE IN THE UNITED STATES OR TO U.S. NEWS WIRE SERVICES

Eurocontrol Technics Inc. (TSX VENTURE:EUO), a Canadian public company specializing in the acquisition, development and commercialization of innovative authentication, verification and energy security technologies, is pleased to announce that it has closed the first tranche of its previously announced non-brokered private placement offering of 6,253,002 units at a price of $0.17 per unit for gross proceeds in the amount of $1,063,010.34. Each unit will be comprised of one common share of the Company and one-half of one common share purchase warrant. Each whole common share purchase warrant will entitle the holder thereof to acquire one common share in the capital of the Company at a price of $0.25 at any time prior to 5:00 p.m. on July 6, 2011.

The net proceeds from the financing will be used for general corporate purposes. The Company has paid the following finder's fees in connection with the closing of the first tranche of the private placement: (i) the Company paid Linear Capital Corp., an Ontario limited market dealer ("Linear"), a cash commission in the amount of $8,517 and has issued to Linear 50,000 finder's warrants; (ii) the Company has paid Canaccord Capital Corporation ("Canaccord") a cash commission in the amount of $3,315 and have issued to Canaccord 19,500 broker warrants; (iii) the Company has paid Haywood Securities Inc. a cash commission in the amount of $948.60 and have issued to Haywood 5,580 finder's warrants; and (iv) the Company has paid Kingsdale Capital Inc. a cash commission in the amount of $30,000 and have issued Kingsdale 176,470 finder's warrants. Each finder's warrant will entitle the holder therof to acquire that number of units of the Company at a price of $0.17 per unit with each unit comprised of one common share of the Company and one-half of one common share purchase warrant entitling the holder thereof to acquire an additional common share in the capital of the Company at an exercise price of $0.25 until July 6, 2011.

The financing remains subject to receipt of all necessary approvals, including final approval of the TSX Venture Exchange. All of the securities issued, including the shares issuable on exercise of the warrants, are subject to resale restrictions for a period of four months and one day from the closing date.

About Eurocontrol Technics Inc.

Eurocontrol Technics Inc. through its wholly owned subsidiary Global Fluids International S.A. ("GFI") is one of the world's pioneers in developing and implementing innovative molecular marking systems for the oil industry. Through its proprietary Petromark™ integral system, GFI has developed a 4-part solution consisting of a molecular marker, injection, monitoring and control components. Such oil industry cost realities along with GFI's 5-year R&D efforts to create its industry-leading marking solutions, along with access to capital provided by Eurocontrol Technics Inc. allows management to pursue numerous anticipated oil marking opportunities in fiscal 2010 and in years to come.

Cautionary Note Regarding Forward-looking Information

Except for statements of historical fact contained herein, the information in this press release constitutes "forward-looking information" within the meaning of Canadian securities law. Such forward-looking information may be identified by words such as "plans", "proposes", "estimates", "intends", "expects", "believes", "may", "will" and include without limitation, statements regarding the future operating and financial performance of the Company, the proposed use of proceeds and the terms of the financing. There can be no assurance that such statements will prove to be accurate; actual results and future events could differ materially from such statements. Factors that could cause actual results to differ materially, include, among others, regulatory risks, market risks, competition risks, execution risks, country risks, and lack of a history of profitability. Most of these factors are outside the control of the Company. Investors are cautioned not to put undue reliance on forward-looking information. Except as otherwise required by applicable securities statutes or regulation, the Company expressly disclaims any intent or obligation to update publicly forward-looking information, whether as a result of new information, future events or otherwise.

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.

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