Tamarack Valley Energy Ltd.

Tamarack Valley Energy Ltd.

October 05, 2010 08:55 ET

Tamarack Valley Energy Announces $3 Million Bought Deal Flow Through Financing

CALGARY, ALBERTA--(Marketwire - Oct. 5, 2010) -


Tamarack Valley Energy (TSX VENTURE:TVE) ("Tamarack" or the "Company") is pleased to announce that it has entered into an agreement with a syndicate of underwriters led by Acumen Capital Finance Partners Limited and including Peters & Co Limited, Paradigm Capital, Dundee Securities Corporation and National Bank Financial (collectively, the "Underwriters") to issue, on a bought deal basis, 9,486,166 common shares on a Canadian Exploration Expense ("CEE") flow through basis ("CEE Flow Through Shares") at a price of $0.31625 per CEE Flow Through Share for aggregate gross proceeds of $3,000,000. Tamarack has also entered into an agreement with the Underwriters, as agents, on a best efforts agency basis to issue 3,382,664 common shares on a Canadian Development Expense ("CDE") flow through basis ("CDE Flow Through Shares") at a price of $0.295625 per CDE Flow Through Share for aggregate gross proceeds of $1,000,000.

Tamarack has granted the Underwriters an over-allotment option to place, on the same terms, up to an additional 1,581,028 CEE Flow Through Shares for additional gross proceeds of $500,000.

Proceeds of the offering will be used to accelerate the Company's Cardium and Viking light oil exploration program by incurring expenditures eligible for CEE and CDE expenses which will be renounced to subscribers of the respective Flow Through Share offerings effective on or before December 31, 2010.

Closing is expected to occur on or about October 21, 2010 and is subject to certain conditions including, but not limited to, the receipt of all necessary approvals including the approval of the TSX Venture Exchange.

About Tamarack Valley Energy Ltd.

Tamarack Valley Energy is an oil and gas company involved in the identification, evaluation and operation of resource plays in the western Canadian sedimentary basin. The Company uses a rigorous, proven modeling process to carefully manage risk and identify growth opportunities and has assets in Lochend, Harmattan/Garrington and Quaich areas in Alberta and in Inga, Red Creek and Wilder areas in northeast BC.

The securities offered have not been and will not be registered under the U.S. Securities Act of 1933, as amended and may not be offered or sold in the United States absent registration or applicable exemption from the registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.

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

  • Tamarack Valley Energy Ltd.
    Brian Schmidt
    President & CEO
    Tamarack Valley Energy Ltd.
    Ron Hozjan
    VP Finance & CFO