Reservoir Capital Corp.
TSX VENTURE : REO
FRANKFURT : ROC
BERLIN : ROC

Reservoir Capital Corp.

November 08, 2011 07:00 ET

Reservoir to Raise up to $5 Million by Private Placement

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Nov. 8, 2011) - Reservoir Capital Corp. (TSX VENTURE:REO)(FRANKFURT:ROC)(BERLIN:ROC) -

NOT FOR DISTRIBUTION TO US NEWSWIRE SERVICES NOR FOR DISSEMINATION IN THE UNITED STATES OF AMERICA.

Reservoir Capital Corp. ("Reservoir" or the "Company") has agreed to a private placement of $3,000,000 - $5,000,000 by the issuance of 4,285,714 to 7,142,857 units at $0.70 per unit. Each unit shall consist of one common share and one non-transferable, common share purchase warrant. Each warrant will entitle the holder to purchase an additional common share at $1.00 for two years. If, after four months from closing, the closing price of the Company's shares on the TSX Venture Exchange is $1.50 or greater for 20 consecutive trading days, the Company may, by notice given within five trading days thereof, accelerate the expiry of the warrants to the 21st trading day after such notice.

The Company will pay finder's fees in respect of subscriptions from investors introduced by a finder. The fee will be payable in cash, or at the finder's election, the issuance of that number of units equal to 6% of the number of units issued pursuant to such subscriptions. In addition, the finder will be issued finder warrants to purchase, for two years at a price of $0.70 per share, that number of common shares equal to 6% of such units.

There can be no assurance that the private placement will be completed as proposed or at all, and it is subject to all applicable regulatory approvals. The proceeds of the offering will be used by Reservoir to support the Feasibility Studies on the Brodarevo Projects, new business efforts in the renewable energy sector and for general corporate purposes.

About Reservoir

Reservoir is a renewable energy company, engaged in development of a 58.4 MW hydroelectric project at Brodarevo in southwest Serbia. Reservoir holds four geothermal exploration licenses in Serbia and has applied for three hydroelectric licenses to develop on the Cehotina River in Bosnia (17.75 MW) and one to develop a 32 MW project from an existing reservoir dam at Vrutci in Serbia. Reservoir's common shares trade on the TSX Venture Exchange (symbol "REO") and on the Frankfurt and Berlin Exchanges (symbol "ROC").

For further information on Reservoir Capital Corp. please consult the Company's website www.reservoircapital.ca.

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States of America. The securities have not been and will not be registered under the United States Securities Act of 1933 (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons (as defined in the U.S. Securities Act) unless registered under the U.S. Securities Act and applicable state securities laws, or an exemption from such registration is available.

Neither the TSX Venture Exchange nor the Investment Industry Regulatory Organization of Canada accepts responsibility for the adequacy or accuracy of this release.

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