Redcliffe Exploration Inc.
TSX VENTURE : RXP.A
TSX VENTURE : RXP.B

Redcliffe Exploration Inc.

March 20, 2008 09:20 ET

Redcliffe Announces $8 Million Financing

CALGARY, ALBERTA--(Marketwire - March 20, 2008) -

THIS NEWS RELEASE IS NOT FOR DISSEMINATION IN THE UNITED STATES OR TO U.S. PERSONS.

Redcliffe Exploration Inc. (TSX VENTURE:RXP.A) (TSX VENTURE:RXP.B) ("Redcliffe" or the "Corporation") is pleased to announce that it has entered into an agreement with an underwriting syndicate led by Northern Securities Inc., and including GMP Securities L.P. and Raymond James Ltd. (the "Underwriters") to issue, by way of a private placement, 8,333,333 Class A shares (the "Shares") on a "bought deal" basis at $0.60 per Share, and up to 4,166,667 flow-through Class A shares (the "Flow-Through Shares") on a "best efforts" basis at a price of $0.72 per Flow-Through Share, for aggregate gross proceeds of up to approximately $8 million.

In addition, the Corporation has granted the Underwriters a "greenshoe" option, exercisable prior to closing, to offer on a "best efforts" basis up to an additional 2,083,333 Shares at $0.60 per Share, and up to an additional 1,041,667 Flow-Through Shares at a price of $0.72 per Flow-Through Share, which would increase the size of the offering to approximately $10 million, if fully subscribed.

Proceeds from the Share offering will be used to fund the Corporation's ongoing drilling program in its core focus areas and for general corporate purposes. Proceeds from the Flow-Through Share offering will be used to incur qualifying expenditures.

Closing of the offering is expected to occur on or about April 14, 2008, and is subject to the receipt of all requisite regulatory and stock exchange approvals. The securities issued under the private placement will be subject to a four month hold period from the date of closing.

Redcliffe is a Calgary, Alberta based company engaged in the exploration for, and development and production of conventional crude oil and natural gas reserves in western Canada. Redcliffe's strategy is to build shareholder value through internally generated exploration and development drilling, and through selective acquisitions. Redcliffe's areas of operational focus include the Peace River Arch and Pembina areas of Alberta.

Forward-Looking Statements: This news release contains statements about future events that are forward looking in nature and, as a result, are subject to certain risks and uncertainties such as changes in plans or the occurrence of unexpected events. Actual results may differ from the estimates provided by management.

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

Contact Information

  • Redcliffe Exploration Inc.
    Daryl H. Connolly
    President & CEO
    (403) 539-8440
    (403) 539-8433 (FAX)
    Email: dconnolly@redcliffe.ca
    or
    Redcliffe Exploration Inc.
    George Gramatke
    Vice President, Finance & CFO
    (403) 539-8442
    (403) 539-8433 (FAX)
    Email: ggramatke@redcliffe.ca