Pan Terra Industries Inc.
NEX BOARD : PNT.H

Pan Terra Industries Inc.

November 20, 2007 12:16 ET

Pan Terra Announces Private Placement

CALGARY, ALBERTA--(Marketwire - Nov. 20, 2007) - PAN TERRA INDUSTRIES INC. ("Pan Terra" or the "Corporation") (NEX:PNT.H), announces a non-brokered private placement to raise up to $10 million (the "Offering"). The Offering will consist of up to 10,000,000 units priced at $1.00 per unit ("Unit"). Each Unit will consist of one common share and one-half common share purchase warrant, with each whole warrant entitling the holder thereof to purchase one additional common share at a price of $1.50 per share for a period of 12 months from the closing date. The common shares and warrants will be subject to a hold period expiring four months from the date of closing the private placement.

Closing of the private placement is subject TSXV approval and completion of Pan Terra's change of business, as disclosed in its press release dated October 9, 2007. The proceeds will be used to fund the 2008 joint exploration and land acquisition/work program, optimize the Sylvan Lake Property, and general working capital.

Pan Terra may pay Finders' fees of 8% of the gross proceeds of the Offering attributable to purchases that are: (i) introduced to Pan Terra by the Finder or, (ii) introduced to the Offering by the Finder, in each case for the purpose of participating in the Offering. In addition, subject to regulatory approval, Pan Terra will issue to the Finder a warrant (the "Finder's Warrant") entitling it to acquire a number of units (the "Finder's Unit") that is 8% of the Units subscribed for by the Subscribers. Each Finder's Warrant will be exercisable at the price of $1.00 per Finder's Unit. Each Finder's Unit will consist of one common share of Pan Terra and one-half common share purchase warrant, each whole warrant entitling the Finder to purchase one common share of Pan Terra at a price of $1.50 per common share for a period of 12 months from the date of issue.

Pan Terra is currently preparing a "Filing Statement" in accordance with TSXV policies and a copy of same will be filed on www.sedar.com once the TSXV has conditionally approved the change of business.

Forward-Looking Statements

This press release may include forward-looking statements including opinions, assumptions, estimates and expectations of future results, cash flow and earnings. Forward-looking statements are subject to a wide range of risks and uncertainties and although the Corporation believes that the expectations represented by such forward-looking statements are reasonable; there can be no assurance that such expectations will be realized.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Pan Terra Industries Inc.
    Mr. Aaron Lane
    President
    (403) 705-8572
    #700, 205 - 5th Avenue SW
    Calgary, Alberta T2P 2V7