FINANCING / Berkley Petroleum announces Financing
Berkley Petroleum Corp. ("Berkley") announced today that it has entered into
a financing agreement with a syndicate of underwriters (the "Underwriters")
led by Nesbitt Burns Inc. and First Marathon Securities Limited, and
including Bunting Warburg Inc., CIBC Wood Gundy Securities Inc., FirstEnergy
Capital Corp., Peters & Co. Limited, and TD Securities Inc., under which the
Underwriters have agreed to buy for resale to the public, 2.0 million Flow-
Through Common Shares of Berkley at $17.00 per Common Share for an aggregate
amount of issue of $34,000,000. Closing is expected to be on or before
February 24, 1998.
Berkley will renounce to the purchasers of the Flow-Through Common Shares 100
percent of the subscription proceeds as Canadian Exploration Expense, giving
subscribers 100 percent tax deductions for the 1998 tax year.
Proceeds from the issue will be used to fund Berkley's ongoing exploration
activities.
Berkley Petroleum Corp. is a Canadian company engaged in exploration,
development and production of natural gas and crude oil. The Company's
common shares are listed on The Toronto Stock Exchange and The Alberta Stock
Exchange under the trading symbol"BKP".
The securities offered have not been 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 an 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 State in which such offer, solicitation or sale would be
unlawful. |
