Dejour Energy Closes US$ 4.7 Million Equity Offering
Dejour Energy Inc. (NYSE MKT: DEJ / TSX:
DEJ), an independent oil and natural gas company operating multiple exploration
and production projects in North America's Piceance /
Uinta Basin and Peace River Arch regions, announced today that it has closed
its previously announced equity financing. Roth Capital Partners acted as the
sole placement agent for this offering.
Through this offering, the Company sold 18,130,305 units at a price of US$0.26
per unit. Each unit consists of one common share and 3/4 of a warrant to
purchase one common share. Each warrant can be exercised to purchase one common
share at an exercise price of US$0.40 per share and will be exercisable for a
period of five years following the completion of the offering, beginning on
December 4, 2012.
Net proceeds received from
the offering will be used to accelerate the development of Dejour�s
oil and NGL projects, including drilling and land acquisition costs, and for
general corporate purposes. The completion of the offering satisfies a closing
condition for the Company�s previously announced US$14 million debt facility.
"With this raise and
the closing of the previously announced debt facility, Dejour
has in excess of US$18 million dedicated to fund its development projects in
the U.S. and establish initial production at its core Kokopelli
project. The proceeds of this offering both strengthens our balance sheet and
provides us with the flexibility to execute on our dual objectives of
increasing oil and NGL production during these volatile markets. That Dejour can secure the debt facility and has completed this
equity offering during these conditions is a testament to both the value
proposition of the Company�s proven assets and its developing opportunities. We
are very pleased to welcome new institutional investors in the Company through
this raise," states Robert Hodgkinson,
Co-Chairman.
Statements Regarding Forward-Looking Information: This news release contains
statements with respect to the use of proceeds of the completed offering, Dejour�s ability to establish production and Dejour�s business strategy, that may constitute
"forward-looking statements" or "forward-looking
information" within the meaning of applicable securities legislation as
they involve the implied assessment that the resources described can be
profitably produced in the future, based on certain estimates and assumptions.
Forward-looking statements are based on current expectations, estimates and
projections that involve a number of risks, uncertainties and other factors
that could cause actual results to differ materially from those anticipated by Dejour and described in the forward-looking statements.
These risks, uncertainties and other factors include, but are not limited to,
the availability of funding for future projects, adverse general economic
conditions, operating hazards, drilling risks, inherent uncertainties in
interpreting engineering and geologic data, competition, reduced availability
of drilling and other well services, fluctuations in oil and gas prices and
prices for drilling and other well services, government regulation and foreign political
risks, fluctuations in the exchange rate between Canadian and US dollars and
other currencies, as well as other risks commonly associated with the
exploration and development of oil and gas properties. Additional information
on these and other factors, which could affect Dejour�s
operations or financial results, are included in Dejour�s
reports on file with Canadian and United States securities regulatory
authorities. We assume no obligation to update forward-looking statements. The
TSX does not accept responsibility for the adequacy or accuracy of this news
release.