Grand Petroleum Inc.
TSX VENTURE : GPP

Grand Petroleum Inc.

November 28, 2006 08:26 ET

Grand Petroleum Inc. Announces $10 Million Financing

CALGARY, ALBERTA--(CCNMatthews - Nov. 28, 2006) -

This press release is not for release or distribution in the United States.

Grand Petroleum Inc. ("Grand" or the "Corporation") (TSX VENTURE:GPP) has entered into an agreement with a syndicate of underwriters (the "Underwriters") to issue on a "bought deal", private placement basis 1,000,000 common shares on a flow-through basis ("Flow Through Shares") at a price of $5.00 per Flow Through Share and 1,316,000 common shares ("Common Shares") at $3.80 per Common Share. The Underwriters' syndicate is co-led by Haywood Securities Inc. and Canaccord Capital Corp., and also includes Orion Securities Inc. and Tristone Capital Inc. Subject to regulatory approval, the financing is expected to close on December 18, 2006.

Following the issue Grand will have 26,281,190 basic and 28,259,523 fully diluted shares outstanding.

Certain information set forth in this press release contains forward-looking statements. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, reliance should not be placed on forward-looking statements. Grand's actual results, performance or achievement could differ materially from those expressed in, or implied by, these forward-looking statements and, accordingly, no assurance can be given that any of the events anticipated by the forward-looking statements will transpire or occur, or if any of them do so, what benefits that Grand will derive therefrom. Grand disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

The Flow-Through Shares and the Common Shares have not been registered under the U.S. Securities Act and are not being offered or sold in the United States.

The TSX Venture Exchange has neither approved nor disapproved the contents of this press release.

Contact Information

  • Grand Petroleum Inc.
    Andrew Hogg
    President and CEO
    (403) 231-8403
    or
    Grand Petroleum Inc.
    Brenda Galonski
    Vice President Finance and CFO
    (403) 231-8402
    Website: www.grandpetroleum.com