TransAtlantic Petroleum Corp.

TransAtlantic Petroleum Corp.

November 17, 2005 15:23 ET

TransAtlantic Petroleum Corp.: Closes US $4.25 million Bought Deal Financing

CALGARY, ALBERTA--(CCNMatthews - Nov. 17, 2005) - TransAtlantic Petroleum Corp. (TSX:TNP.U) announced that it has closed a US $4.25 million bought deal underwritten private placement financing. The financing was underwritten by Canaccord Capital Corporation and by Quest Securities Corporation (the "Underwriters"). Pursuant to the financing, TransAtlantic has issued 5,000,000 Units at US $0.85 per Unit. Each Unit consists of one common share and one half of one common share purchase warrant. Each whole warrant will entitle the holder to acquire one common share at a price of US $1.05 for a period of 24 months following the closing of the financing, provided however, if the volume weighted average closing price of TransAtlantic's common shares exceeds US $1.40 per share for 20 consecutive trading days, the Company will be entitled to accelerate expiration of the warrants (thereby requiring the warrant holder to exercise the warrant within 30 days of being notified of the accelerated expiration).

In connection with issuance of the Units, the Company paid the Underwriters a commission of 7.5% of the gross proceeds raised (US $297,500) and issued 375,000 broker warrants to the Underwriters exercisable on the same terms as the warrants forming part of the financing Units.

The additional capital will be used for TransAtlantic's ongoing exploration and production activities; specifically, South Gillock in South Texas and its operations in southeast Turkey and northeast Morocco as well as for working capital.

TransAtlantic now has outstanding approximately 37.7 million shares and 11.3 million share purchase warrants consisting of 500,000 exercisable at US $1.00, 2.9 million exercisable at US $1.05 and 7.9 million exercisable at US $1.50 per share.

TransAtlantic is engaged in the exploration, development and production of crude oil and natural gas in Morocco, Turkey and the USA and is pursuing other selected foreign opportunities.

This press release includes projections and other "forward-looking" statements. All statements other than statements of historical facts included in this press release, including statements regarding projected reserves and upside potential are forward-looking statements. The statements involve risks that could significantly impact TransAtlantic Petroleum Corp. These projections and statements reflect the Company's current views with respect to future events and financial performance. No assurances can be given that these events will occur or that these projections will be achieved and actual results could differ materially from those projected. Important factors that could cause actual results to differ from the Company's expectations include, but are not limited to, adverse general economic conditions, operating hazards, drilling risks, inherent uncertainties in interpreting engineering and geological data, competition, reduced availability and costs of drilling and other well services, fluctuations in oil and gas prices, government regulation and foreign political risks, as well as other risks.


Contact Information

  • TransAtlantic Petroleum Corp.
    Scott C. Larsen
    (214) 220-4323