Shoreline Energy Corp.
TSX : SEQ

Shoreline Energy Corp.

May 09, 2013 14:18 ET

Shoreline Energy Corp. Announces Closing of the Second Tranche of Its Previously Announced Flow-Through Brokered Private Placement Financing

CALGARY, ALBERTA--(Marketwired - May 9, 2013) -

NOT FOR DISTRIBUTION IN THE UNITED STATES.

Shoreline Energy Corp. (TSX:SEQ) ("Shoreline" or the "Corporation") is pleased to announce that it has closed the second tranche of its previously announced brokered private placement financing (the "Financing"), resulting in gross proceeds to Shoreline of $750,000 through the issuance of 187,500 common shares of the Corporation, issued on a "flow-through" basis pursuant to the Income Tax Act (Canada) (the "Flow-Through Shares") at a subscription price of $4.00 per Flow-Through Share. To date, together with the gross proceeds raised under the first tranche of the Financing, Shoreline has closed on total gross proceeds of $2,980,000 through the issuance of 745,000 Flow-Through Shares. Casimir Capital Ltd. (the "Agent") acted as agent on the Financing. In connection with the closing of the second tranche of the Financing, the Agent received a cash commission equal to 7% of the gross proceeds raised under the Financing.

The Flow-Through Shares issued under the Financing are subject to a four month and one day resale and transfer restriction under applicable securities laws. The net proceeds of the Financing will be used as previously announced in the Corporation's press release dated April 17, 2013.

This press release is not an offer of securities for sale in the United States. The securities being offered have not been and will not be registered under the United States Securities Act of 1933, as amended, and accordingly may not be offered or sold in the United States unless registered under that Act or pursuant to an available exemption from the registration requirements thereof.

About Shoreline Energy

Investor Information

Shoreline is a Calgary, Alberta based corporation engaged in the exploration, development and production of petroleum and natural gas. Shoreline offers investors a combination of value growth via lower risk development of additional oil reserves and production on its current lands and pays a quarterly dividend. The Common Shares are currently listed on the TSX under the trading symbol "SEQ" and the debentures under the trading symbol "SEQ.DB". Additional information regarding Shoreline is available under the Corporation's profile at www.sedar.com or at the Corporation's website, www.shorelineenergy.ca.

Forward Looking and Cautionary Statements

This news release contains forward-looking statements relating to the use of the net proceeds under the Offering. Forward-looking statements typically use words such as "will," "anticipate," "believe," "estimate," "expect," "intend," "may," "project," "should," "plan," and similar expressions suggesting future outcomes, and include statements that actions, events or conditions "may," "would," "could," or "will" be taken or occur in the future. The forward-looking statements are based on various assumptions including expectations regarding the success of current or future drill wells; the outlook for petroleum and natural gas prices; estimated amounts and timing of capital expenditures; estimates of future production; assumptions concerning the timing of regulatory approvals; the state of the economy and the exploration and production business; results of operations; business prospects and opportunities; future exchange and interest rates; the Corporation's ability to obtain equipment in a timely manner to carry out development activities; and the ability of the Corporation to access capital and credit. While the Corporation considers these assumptions to be reasonable based on information currently available to it, they may prove to be incorrect.

Forward-looking statements are subject to a wide range of assumptions, known and unknown risks and uncertainties and other factors that contribute to the possibility that the predicted outcome will not occur, including, without limitation: risks associated with oil and gas exploration, development, exploitation, production, marketing and transportation; loss of markets; volatility of commodities prices; currency fluctuations; imprecision of reserves estimates; environmental risks; competition from other producers; inability to retain drilling rigs and other services; incorrect assessment of the value of acquisitions; failure to realize the anticipated benefits of acquisitions; general economic conditions; delays resulting from or inability to obtain required regulatory approvals and to satisfy various closing conditions; and ability to access sufficient capital from internal and external sources. Readers are cautioned that the foregoing list of factors is not exhaustive.

Although Shoreline believes that the expectations represented by such forward-looking statements are reasonable, there can be no assurance that such expectations will be realized. As a consequence, actual results may differ materially from those anticipated in the forward-looking statements and you should not rely unduly on forward-looking statements. The forward-looking statements contained in this news release are made as of the date of this news release. Except as required by applicable law, Shoreline does not undertake any obligation to publicly update or revise any forward-looking statements.

Contact Information