Valiant Energy Inc.

Valiant Energy Inc.

October 19, 2005 16:31 ET

Valiant Energy Inc. Closes $6.0 Million Flow-Through Financing

CALGARY, ALBERTA--(CCNMatthews - Oct. 19, 2005) - Valiant Energy Inc. (TSX:VLE) ("Valiant" or "the Company") is pleased to announce that it has closed its previously announced private placement of 1,091,000 flow-through common shares at a price of $5.50 per share for gross proceeds of $6,000,500.

The underwriting syndicate for the offering was led by GMP Securities Ltd. and included FirstEnergy Capital Corp., Haywood Securities Inc. and Tristone Capital Inc. Upon closing of the offering, Valiant will have approximately 17.3 million shares outstanding. Valiant will use the proceeds of the offering to incur Canadian exploration expenses on its properties and will renounce such expenditures to subscribers for the 2005 tax year.

Valiant is a Canadian company engaged in the business of acquiring crude oil and natural gas properties and exploring for, developing and producing crude oil and natural gas. Valiant's common shares are listed on the Toronto Stock Exchange under the symbol "VLE".

Valiant's news releases can be accessed electronically through the Company's website,, or through the SEDAR website,

This news release shall not constitute an offer to sell or the solicitation of an offer to buy securities in any jurisdiction. Such securities have not been registered under the United States Securities Act of 1933 and may not be offered or sold in the United States, or to a U.S. person, absent registration, or an applicable exemption therefrom.

This press release may contain forward-looking statements including expectations of future production, cash flow and earnings. These statements are based on current expectations that involve a number of risks and uncertainties, which could cause actual results to differ from those anticipated. These risks include, but are not limited to: the risks associated with the oil and gas industry. (e.g. operational risks in development, exploration and production; delays or changes in plans with respect to exploration or development projects or capital expenditures; the uncertainty of reserve estimates; the uncertainty of estimates and projects relating to production, costs and expenses, and health, safety and environmental risks), commodity price, price and exchange rate fluctuation and uncertainties resulting from the potential delays or changes in plans with respect to exploration or development projects or capital expenditures. Additional information on these and other factors that could affect Valiant's operations or financial results are included in Valiant's reports on file with Canadian securities regulatory authorities.

Contact Information

  • Valiant Energy Inc.
    Douglas N. Baker
    Chief Financial Officer
    (403) 237-5163
    (403) 237-5256 (FAX)
    Valiant Energy Inc.
    2450, 500 - 4th Avenue S.W.
    Calgary, AB T2P 2V6