Transeuro Energy Corp.
TSX VENTURE : TSU
OSLO STOCK EXCHANGE : TSU

Transeuro Energy Corp.

December 23, 2010 16:00 ET

Transeuro Energy Corp.: Private Placement

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Dec. 23, 2010) - Mr. David Parry, Director of Transeuro Energy Corp. (TSX VENTURE:TSU)(OSLO:TSU) ("Transeuro" or the "Company") is pleased to announce that the Company intends to proceed with a non-brokered private placement for gross proceeds of up to $2,000,000. The private placement will consist of unsecured convertible debentures (the "Debentures"), or alternatively will be of units (the "Units") to be issued at a price of $0.085, with each Unit consisting of a common share and a warrant (a "Warrant"). Each Warrant is exercisable for a period of fifteen months into a common share of Transeuro at an exercise price equal to $0.10.

The Company may issue a combination of Units and Debentures. The Company filed for price protection on December 22, 2010 at $0.085 with the TSX.

Each Debenture will have a principal amount of $1,000 and will have a term of 15 months and will be convertible into Units consisting of one common share and a warrant exercisable for a period of fifteen months into a common share of Transeuro at an exercise price equal to $0.15. The Debentures will carry an interest rate of 15% per annum payable at conversion. The principal amount of each Debenture, plus accrued interest, will be convertible into Units of the Company at the purchaser's election at any time following the closing date up until the maturity date. The Company will have the right to repay the principal amount of each Debenture, plus accrued interest, at any time without penalty or charge.

Neither the Warrants nor the Debentures will be listed for trading on the TSX Venture Exchange or the Oslo Axess. All securities issued will be subject to a four month hold period.

It is anticipated that Insiders of the Company will subscribe for at least 50% of the private placement.

The net proceeds of the offering will be used primarily for Ukraine drilling operations.

The Company is pleased to announce that it has hired Chris McGillivray, formerly of TD Canada Trust and CIBC to run the Company's investor relations.

On behalf of the Board of Directors

David Parry, Director

The statements contained in this release that are not historical facts are forward-looking statements, which involve risks and uncertainties that could cause actual results to differ materially from the targeted results. The Company relies upon litigation protection for forward looking statements.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) nor the Oslo Bors accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • Transeuro Energy Corp.
    David Parry
    SVP
    +1 604 681 3939
    or
    Transeuro Energy Corp.
    Karen Jenssen
    IR
    +47 91 729787
    www.transeuroenergy.com