Spitfire Energy Ltd.
TSX VENTURE : SEL

Spitfire Energy Ltd.

July 16, 2007 14:11 ET

Spitfire Energy Announces $2-Million Flow-Through Financing

CALGARY, ALBERTA--(Marketwire - July 16, 2007) -

NOT FOR DISSEMINATION IN THE UNITED STATES OF AMERICA

SPITFIRE ENERGY LTD. ("Spitfire" or the "Corporation") (TSX VENTURE:SEL) announces that it has entered into an agreement with Acumen Capital Partners in which Acumen has agreed to place with its clients 3,333,334 common shares of Spitfire for total gross proceeds of $2 million on a flow-through basis at $0.60 per share. The Corporation will renounce to the subscribers Canadian Exploration Expenses for the 2007 taxation year equal to the subscription amount for the flow-through common shares. The common shares will be subject to a four month hold period. The closing of the private placement remains subject to regulatory approval and completion of documentation.

Spitfire Energy Ltd. is a junior oil and gas company engaged in the exploration for, development, and production of natural gas and crude oil reserves. The proceeds will be used to finance Spitfires' exploration and development program. Spitfire's common shares trade on the TSX Venture Exchange under the symbol "SEL".

This press release contains statements about future events that are forward looking in nature and, as a result, are subject to certain risks and uncertainties such as changes in plans or the occurrence of unexpected events. Actual results may differ from the estimates provided by management. The Corporation does not undertake any obligation to publicly update or revise any forward-looking statements.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of the contents of this press release.

Contact Information

  • Spitfire Energy Ltd.
    Keith N. Chase
    President and Chief Executive Officer
    (403) 205-3400 x228