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Gold/Mining/Energy : DALECO RESOURCES ( DLOV ) -- Ignore unavailable to you. Want to Upgrade?

To: BILL G. who wrote (173)	12/21/1998 10:58:00 AM
From: WineOh	Read Replies (2) \| Respond to of 197

Bill here's the news. Daleco Resources Initiates $9 Million Equity Placement Daleco Resources Corp. (NASDAQ:DLOV) WAYNE, Pa.--(BUSINESS WIRE)--Dec. 11, 1998-- Dov Amir, chairman of the board and chief executive officer, announced Friday that Daleco has signed a definitive term sheet with a private investment group providing for a $9 million of equity capital infusion into the company. Under the terms of the agreement, Daleco will issue to the investment group common shares equivalent to 37 and one-half (37.5%) of the then issued and outstanding common stock of the company. In addition, the investment group will have the rights to receive warrants for Daleco common stock tied to the acquisition of additional assets acquired through the assistance of and financed by the investment group. He added that the equity funding is the cornerstone of the company's efforts to ''redefine'' itself to meet the challenges of the next century. Closing is targeted for Dec. 18, 1998. Gary Novinskie, Daleco's president stated that the funds obtained through the equity placement are earmarked for working capital for both the company and its subsidiaries, the retirement of the outstanding preferred stock of the company and to satisfy certain outstanding obligations of the company and its subsidiaries under existing financing agreements. He also reported that due to the lingering depressed energy prices, a subsidiary of the company is in technical default under its project financing agreement with Heller Financial. It is the intent of the company to assist its subsidiary in complying with the terms of the project financing agreement. Daleco Resources Corp. is an international natural resource company with holdings in oil and gas, timber and minerals. Safe harbor for forward-looking statements: Except for historical information contained herein, the statements in this press release are forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Reform Act of 1995. Forward-looking statements involve known and unknown risks and uncertainties which may cause the company's actual results in the future periods to differ materially from forecasted results. These risks and uncertainties include, among other things, product price volatility, product demand, market competition, risk inherent in the company's domestic and international operations, imprecision in estimating product reserves and the company's ability to replace and expand its holdings. ------------------------------------------------------------------------ Contact: Daleco Dov Amir, 310/282-9999 Gary J. Novinskie, 610/254-4199 Hope it gives you some hope. Wineoh