News on Pinnacle today: closed the private placement.
Now the company has over $10 million in cash which according to the press release should last them several years. Notice the investors were a director and the Stephens Group and the Stephens Group's oil company, CamWest. As a historical reminder we first have the Stephens Group's oil company, CamWest, test the SFD; then CamWest signs a large contract with Pinnacle; then Stephens Group becomes the 3rd largest shareholders in the company; then one of CamWest senior people, Jim Ehrets, joins Pinnacle as VP of Operations; now CamWest and Stephens buy more stock on this private placement. Do you get the feeling something is going on?
Press release today:
Tuesday May 18, 9:26 am Eastern Time
Company Press Release
Pinnacle Announces Closing Of $6 Million Private Placement Of Common Stock
CALGARY, Alberta--(BUSINESS WIRE)--May 18, 1999-- Pinnacle Oil(OTC Bulletin Board:PSFD - news) Mr. George Liszicasz, Chief Executive Officer, and Mr. Daniel C. Topolinsky, President, of Pinnacle Oil International, Inc. (''Pinnacle'') (OTC BB: PSFD), announced today that Pinnacle has closed its private placement of restricted common stock at $15 per share originally announced on May 3, 1999.
Mr. Liszicasz stated ''We are pleased to announce that Pinnacle has closed its recently announced U.S. $6 million private placement of 400,000 shares of restricted common stock.'' Mr. Liszicasz continued ''These shares were purchased by six selected accredited investors with whom Pinnacle has pre-existing relationships, including Dennis Hunter, one of Pinnacle's directors, and SFD Investment II LLC, an affiliate of Stephens Group, Inc and CamWest Exploration LLC, our U.S. joint-venture partner.''
Mr. Topolinsky added ''Pinnacle is now postured, as a result of recent staff additions and developments in our SFD technology, to accelerate our survey and interpretation pace, without interruption, to the point where we would need additional survey aircraft and ultimately involve the company in several working interest exploration investments over the next six to eighteen months. After considering recent positive developments in both the industry and in Pinnacle's capital market and business, management decided to take advantage of the available opportunity to raise additional capital on favorable terms in order to place the company in a position where it can take immediate advantage of these potential investment opportunities as they arise. Raising this capital also enables Pinnacle to continue to fully dedicate our other available cash reserves of over $4.4 million for further development of our SFD technology as well as funding our other operational requirements for the next several years.''
Pinnacle is a technology company engaged in oil and gas exploration and development, and holds the exclusive rights for hydrocarbon exploitation through the Stress Field Detector, a technology which has been shown to be accurate in the identification of hydrocarbon deposits. Specifically, the SFD affords a capability to perform wide area exploration more rapidly than any traditional method, and offers an opportunity to locate numerous, productive oil and gas fields at a fraction of the cost of conventional methods.
Information and statements in this news release, other than historical information, should be considered ''forward-looking statements'' within the meaning of Section 21E of the United States Securities Exchange Act of 1934, as amended, and Section 27A of the Securities Act of 1933, as amended, and is subject to the safe harbors created by those statutes. These forward-looking statements generally reflect the current expectations or beliefs of Pinnacle and its management, based upon currently available information, regarding the future results of operations, performance and achievements of Pinnacle, or industry results. Pinnacle has tried, wherever possible and among other things, to identify these forward-looking statements by using words such as ''believe,'' ''anticipate,'' ''expect,'' predict,'' ''intend,'' ''may,'' ''will'' and other similar expressions and variations. In addition, any statements in this news release which refer to expectations, projections or other characterizations of future events or circumstances also constitute forward-looking statements. Any such forward-looking statements are inherently subject to known and unknown uncertainties, risks and other factors, which may cause the actual results, performance or achievements of Pinnacle to differ materially from those expressed in, or implied by, such forward-looking statements. Factors that could cause actual results to differ materially include, but are not limited to, delays on Pinnacle's part in conducting surveys and/or interpreting survey data, and delays on the part of Pinnacle's strategic partners in planning survey activities, in conducting geologic and geophysical evaluations of recommended anomalies, in acquiring drilling rights, and/or in conducting exploratory drilling activities, as well as other uncertainties, risks and other factors detailed in Pinnacle's various reports filed from time-to-time with the SEC, including its Annual Report on Form 10-K and its Quarterly Reports on Form 10-Q. Pinnacle undertakes no obligation to publicly release the results of any revision to any forward-looking statement contained in this news release which may be made to reflect events or circumstances occurring subsequent to the dissemination of this news release. Readers are cautioned not to put undue reliance on any forward-looking statement contained in this news release, and are also urged to carefully review and consider the various disclosures made by Pinnacle in its various reports filed from time-to-time with the SEC that attempt to advise interested parties of the risks and factors that may affect Pinnacle's business and an investment in its securities.
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Contact:
Pinnacle Oil International, Inc.
Daniel C. Topolinsky, 403/264-7020
403/264-6442 (FAX)
or
Pinnacle Oil International, Inc.
John M. Woodbury, Jr., 403/264-7020
403/264-6442 (FAX)
invest@pinnacleoil.com
pinnacleoil.com
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