FINANCING / Thunder flow-through issue
Thunder Energy Inc. Issues 700,000 Flow-Through Shares
CALGARY, ALBERTA--Thunder Energy Inc. (THY - TSE) today advises
that it has issued 700,000 flow-through shares at an issue price
of $2.00 per share for gross proceeds of $1,400,000. The shares
were issued as a partial closing to its previously announced best
efforts private placement of 1,500,000 flow-through shares.
The Company also advises it has signed a non-binding letter of
intent with Petrovest V Flow-through Share Limited Partnership
whereby it has agreed, subject to certain conditions, to subscribe
for up to 500,000 flow-through shares. Closing of this
transaction is anticipated to occur in December. The remaining
300,000 flow-through shares available under this offering are
expected to be sold prior to the end of October.
Anticipated gross proceeds of $3,000,000 will be used to fund
Thunder's 1998/1999 drilling programs. Thunder has commenced its
fourth quarter drilling program by spudding the first of 4 wells
(2 net) to be drilled at its Matziwin property. These wells will
target natural gas with initial production rates of 750 mcfpd per
well. In November Thunder will drill 2 (1 net) oil wells at
Rosalind. The first well, a vertical/horizontal well, will test a
potential new oil pool similar to Thunder's 1997 Ellerslie
discovery that has an estimated 4 million proved and probable
barrels of oil. The second well will delineate its Belly River
oil discovery drilled in the second quarter. In December Thunder
will drill 2 (1 net) exploratory gas wells at its Manola property.
Thunder Energy is a Calgary-based oil and gas exploration company
operating in Alberta. Current production is estimated at 1,000
bopd and 10 mmcfpd. Thunder's shares are traded on the Toronto
Stock Exchange under the trading symbol "THY".
The flow-through common shares have not been and will not be
registered under the United States Securities Act of 1933 and, as
a result, these securities may not be offered or sold within the
United States.
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FOR FURTHER INFORMATION PLEASE CONTACT:
Thunder Energy Inc.
Douglas A. Dafoe
President
(403) 294-1635
(403) 232-1317 (FAX)
thunderenergy.com
thunder@thunderenergy.com |
