Rockyview Energy Inc.
TSX : RVE

Rockyview Energy Inc.

December 12, 2006 11:32 ET

Rockyview Completes Equity Financing

CALGARY, ALBERTA--(CCNMatthews - Dec. 12, 2006) -

NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES.

Rockyview Energy Inc. (TSX:RVE) ("Rockyview") is pleased to announce that it has closed its previously announced private placement of 4,870,000 common shares at a price of $3.00 per share, for total gross proceeds of $14,610,000. The underwriting syndicate was led by GMP Securities L.P. and included Westwind Partners Inc., Tristone Capital Inc., BMO Nesbitt Burns Inc. and Dundee Securities Corporation. ARC Energy Venture Fund 4 ("ARC") acquired 1,800,000 common shares of Rockyview pursuant to the private placement to hold an aggregate of 4,202,100 common shares of Rockyview, representing approximately 17.25% of the issued and outstanding common shares of Rockyview. Rockyview is also pleased to announce that, in connection with ARC's purchase, Mr. Malcolm Adams, Vice President, Exploration and Production of ARC Financial Corporation ("ARC Financial"), joined the board of directors of Rockyview as a representative of ARC Financial.

Mr. Adams is a Professional Engineer and an ICD.D certified director with more than 12 years of oil and gas experience. He is a Vice President with ARC Financial, Canada's largest private equity firm focused exclusively on junior energy. Mr. Adams is responsible for developing and completing new investment opportunities for ARC Financial and enjoys working closely with portfolio companies, primarily with respect to risk management and corporate strategy. Prior to joining ARC Financial, Mr. Adams was a Senior Exploitation Engineer with ARC Resources Management Ltd. and he began his career as a Reservoir Engineer with Shell Canada. Mr. Adams graduated with a B.Sc. in Chemical Engineering in 1994 from the University of New Brunswick and is a member of APEGGA. He is currently a member of the board of directors of three private companies.

Rockyview will use the proceeds of the offering to fund a portion of its 2007 exploration and development activities and for general corporate purposes. The common shares issued by Rockyview pursuant to the private placement are subject to a four month hold period and are subject to restrictions on resale prior to April 13, 2007. Rockyview now has 24,364,378 common shares outstanding.

This news release shall not constitute an offer to sell or the solicitation of any offer to buy the securities in any jurisdiction. The securities offered have not been and will not be registered under the U.S. Securities Act of 1933, as amended (the "U.S. Securities Act"), and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons except in certain transactions exempt from the registration requirements of the U.S. Securities Act.

Rockyview is a publicly traded independent exploration and development company pursuing conventional oil and natural gas production and reserves as well as coalbed methane development in western Canada. Rockyview is based in Calgary, Alberta.

Reader Advisory - Statements in this news release contain forward-looking information including expectations of future production, operating and financial results. The reader is cautioned that assumptions used in the preparation of such information may prove to be incorrect. Events or circumstances may cause actual results to differ materially from those predicted, as a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of Rockyview. These risks include, but are not limited to: the risks associated with the oil and gas industry, commodity prices, and exchange rate changes. Industry related risks include, but are not limited to: operational risks in exploration, development and production, availability of skilled personnel and services, failure to obtain industry partner, regulatory and other third party consents and approvals, delays or changes in plans, risks associated with the uncertainty of reserve estimates, health and safety risks and the uncertainty of estimates and projections of production, costs and expenses. The reader is cautioned not to place undue reliance on this forward-looking information. Rockyview undertakes no obligation to update or revise any forward-looking statements except as required by applicable securities laws.

The Toronto Stock Exchange has neither approved nor disapproved of the contents of this news release.

Contact Information

  • Rockyview Energy Inc.
    Steve Cloutier
    President & C.E.O.
    (403) 538-5000
    or
    Rockyview Energy Inc.
    Alan MacDonald
    Vice President, Finance, C.F.O. and Corporate Secretary
    (403) 538-5000
    (403) 538-5050 (FAX)
    Website: www.rockyviewenergy.com.