Titan Exploration Ltd.
TSX VENTURE : TTN.A
TSX VENTURE : TTN.B

Titan Exploration Ltd.

November 10, 2005 09:24 ET

Titan Exploration Ltd. Announces Equity Financing

CALGARY, ALBERTA--(CCNMatthews - Nov. 10, 2005) -

NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

Titan Exploration Ltd., (TSX VENTURE:TTN.A) (TSX VENTURE:TTN.B) ("Titan" or the "Corporation"), announced today that it has entered into a bought deal financing agreement with a syndicate of underwriters led by FirstEnergy Capital Corp. and including Clarus Securities Inc., GMP Securities Ltd., MGI Securities Inc. and Raymond James Ltd. (collectively, the "Underwriters") to issue 3.0 million Class A Shares on a private placement basis at a price of $4.75 per Class A Share for gross proceeds of approximately $14.25 million. Completion of this transaction is subject to receipt of all necessary regulatory approvals. This transaction is expected to close in November, 2005.

Proceeds from the offering will be used to accelerate Titan's capital program in the current quarter and the first quarter of 2006. With the additional proceeds from the equity offering, Titan will be able to more aggressively tackle its substantial inventory of exploration, development and exploitation prospects. Specific additions to Titan's current budget include the pursuit of certain strategic "top-up" acquisitions and farmin opportunities adjacent to Titan's existing prospects. Titan will also embark upon a large 3-D seismic program over a recent exploration discovery, and Titan will expand its current drilling program in southwest Saskatchewan to 11 wells. Finally, the equity proceeds will permit Titan to accelerate its light oil developments at Pouce Coupe and Seal, once Titan receives certain outstanding regulatory approvals.

This news release shall not constitute an offer to sell or the solicitation of any offer to buy securities in any jurisdiction. The Titan Class A Shares have not been nor will be registered under the United States Securities Act of 1933, and they may not be offered or sold in the United States absent registration or an exemption from registration.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Titan Exploration Ltd.
    Trevor Spagrud
    President & CEO
    (403) 313-8590
    (403) 313-8591 (FAX)
    Website: www.titanexploration.ca
    or
    Titan Exploration Ltd.
    Richard F. McHardy
    Vice President, Finance & CFO
    (403) 313-8590
    (403) 313-8591 (FAX)
    Website: www.titanexploration.ca