Samoth Oilfield Inc.
TSX VENTURE : SCD

October 28, 2013 16:05 ET

Samoth Announces Private Placement

ST. ALBERT, ALBERTA--(Marketwired - Oct. 28, 2013) -

NOT FOR DISTRIBUTION IN THE UNITED STATES OR THROUGH UNITED STATES WIRE SERVICES.

Samoth Oilfield Inc. (TSX VENTURE:SCD) ("Samoth" or the "Corporation") is pleased to announce that it has completed its previously-announced non-brokered private placement for gross proceeds of $500,000 (the "Private Placement").

Pursuant to the Private Placement, Samoth issued 10,000,000 Common Share Units (the "Units) at a price of $0.05 per Unit. Each Unit is comprised of one Common Share and one Common Share Purchase Warrant (each a "Warrant"). Each Warrant entitles the holder to purchase one additional Common Share of Samoth at an exercise price of $0.05 for a period of two (2) years from the date of issuance of the Units.

The proceeds from the Private Placement will be used for the purposes of potential asset acquisition(s), reserves evaluation and for general working capital.

Early Warning Report

Mr. Leonard Jaroszuk, the President, Chief Executive Officer, and a director of the Corporation, purchased (through himself and his wholly-owned and controlled holding corporation, West One Limited) an aggregate of 2,200,000 Units and now owns and controls, directly and indirectly: (a) 5,919,222 common shares, or approximately 27.61% of the common shares of Samoth; and (b) 8,119,222 common shares, or approximately 34.35% of the common shares of Samoth that would have been outstanding at such time if the 2,200,000 Warrants which Mr. Jaroszuk beneficially owns and over which it has control or discretion, directly or indirectly, immediately following the completion of the Private Placement, were exercised for 2,200,000 common shares. Mr. Jarosuzk acquired and intend to hold the securities for investment purposes. Depending on market conditions, Mr. Jarosuzk may increase his beneficial ownership through market transactions, private agreements, treasury issuances, exercise of convertible securities or otherwise, in accordance with application securities regulations. Depending on market or other conditions, Mr. Jarosuzk may also sell all or a portion of the securities. A copy of the early warning with additional information with respect to the above will be filed under the Corporation's profile on SEDAR at www.sedar.com.

READER ADVISORY

Statements in this press release may contain forward-looking information including, statements regarding expected use of proceeds. Any statements that are contained in this press release that are not statements of historical fact may be deemed to be forward-looking statements. The reader is cautioned that assumptions used in the preparation of any forward-looking 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 Samoth. The reader is cautioned not to place undue reliance on any forward-looking information. There can be no assurance that the proposed private placement will be completed. The forward-looking statements contained in this press release are made as of the date of this press release, and Challenger does not undertake any obligation to update publicly or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise, except as required by securities law.

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

Contact Information

  • Samoth Oilfield Inc.
    Leonard D. Jaroszuk
    President and Chief Executive Officer
    (780) 418-4400
    (780) 915-5999 (FAX)
    ld.jaroszuk@enterpriseoil.ca