Sagres Energy Inc.

September 08, 2010 12:23 ET

Sagres Energy Announces Update on the Proposed Private Placement Financing

CALGARY, ALBERTA--(Marketwire - Sept. 8, 2010) -


Sagres Energy Inc. ("Sagres") (TSX VENTURE:SGI), an international oil and gas exploration company with an exploration portfolio in Guyana and Jamaica, announced today that further to its news release of August 27, 2010, the proposed private placement financing of units of Sagres at an issue price of $0.35 per unit for minimum gross proceeds of $5.0 million will be capped at 22,857,143 units for maximum gross proceeds of $8.0 million. Each unit will consist of one common share of Sagres and one-half warrant. Each whole warrant will entitle the holder to purchase one common share of Sagres at $0.55 for a period of 18 months. The securities will be subject to a four-month hold period after issuance. The proceeds of the financing will be used to fund Sagres' exploration and development program and for general corporate purposes.

About Sagres

Sagres Energy Inc. is a Canadian based international oil and gas exploration company with an exploration portfolio in Guyana and Jamaica. The common shares of Sagres are listed for trading on the TSX Venture Exchange under the symbol "SGI".

Cautionary Statements

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. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (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 unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

Forward-looking statements

This news release contains forward-looking statements relating to the proposed private placement financing and other statements that are not historical facts. Readers are cautioned not to place undue reliance on forward-looking statements, as there can be no assurance that the plans, intentions or expectations upon which they are based will occur. By their nature, forward-looking statements involve numerous assumptions, known and unknown risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, forecasts, projections in the forward-looking statements will not occur, and that actual performance and results in future periods may differ materially from any estimates or projections of future performance or results expressed or implied by such forward-looking statements. These assumptions, risks and uncertainties include, among other things: the risk that the financing will not be completed or that the necessary consents, waivers, approvals and/or exemptions are not obtained or some other condition to the closing of the financing is not satisfied; the risk that closing of the acquisitions could be delayed if the parties are not able to obtain the necessary approvals on the timelines they have planned; the risk that the board of directors will use the proceeds of the financing for some other purpose and state of the economy in general and capital markets in particular, and investor interest in the business and future prospects of Sagres.

The forward-looking statements contained in this press release are made as of the date of this press release. Except as required by law, Sagres disclaims any intention and assumes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Additionally, Sagres undertakes no obligation to comment on the expectations of, or statements made by, third parties in respect of the matters discussed above.

Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • Sagres Energy Inc.
    Dr. David Johnson
    (403) 978-9878
    Sagres Energy Inc.
    Jason Bednar
    Chief Financial Officer
    (403) 607-4607