Petrobank Energy and Resources Ltd.
TSX : PBG.NT.A
TSX : PBG

Petrobank Energy and Resources Ltd.

October 20, 2005 09:14 ET

Petrobank Closes $38.6 Million Financing and Announces Notice of Redemption of an Additional $18.9 Million of Subordinated Notes

CALGARY, ALBERTA--(CCNMatthews - Oct. 20, 2005) - Petrobank Energy and Resources Ltd. (TSX:PBG)(TSX:PBG.NT.A) is pleased to announce the closing of our previously announced financing for the issuance of 4,000,000 common shares at a price of $9.65 per common share. The shares were issued on a private placement basis through a syndicate of underwriters led by Haywood Securities Inc., and including TD Securities Inc., and ABG Sundal Collier Norge ASA of Oslo, Norway.

The Company has also given notice to redeem an additional $18.9 million of the outstanding Petrobank Subordinated Notes, on a pro rata basis, pursuant to the terms of the Note Indenture dated as of July 18, 2001 between Petrobank and Computershare Trust Company of Canada. This redemption will further reduce the principal amount of subordinated notes outstanding to $50 million.

This partial redemption will be done at par plus accrued and unpaid interest and is expected to be completed in mid-November. The redemption may be made at the offices of Computershare Trust Company of Canada at Suite 710, 530 - 8th Avenue S.W., Calgary, Alberta T2P 3S8.

Contact Information

  • Petrobank Energy and Resources Ltd.
    John D. Wright
    President and CEO
    (403) 750-4400
    or
    Petrobank Energy and Resources Ltd.
    Chris J. Bloomer
    Vice-President Heavy Oil and CFO
    (403) 750-4400
    or
    Petrobank Energy and Resources Ltd.
    Corey C. Ruttan
    Director Corporate Finance and Investor Relations
    (403) 750-4400
    (403) 266-5794 (FAX)
    Email: ir@petrobank.com
    Website: www.petrobank.com