Magnum Energy Announces Private Placements of Flow-Through Financings Totalling $1,935,960
December 17 2009 - 12:25PM
Marketwired
MAGNUM ENERGY INC. (the "Company") (TSX VENTURE: MEN) is pleased to
announce the closing of the second tranche of its private placement
(the "Private Placement") announced in its news release dated
December 2nd, 2009. Pursuant to the Private Placement, the Company
issued a total of 3,795,999 flow-through shares (the "Flow-Through
Shares") at a price of $0.51 per Unit for gross proceeds of
$1,935,960.
Finder's fees of $102,082 were paid in accordance with the
policies of the TSX Venture Exchange.
All securities issued pursuant to the private placement are
subject to hold periods expiring between April 11 and 17, 2010.
The Company is currently in the process of re-entering or
recompleting eight wells in the Sedalia area which will be
performed prior to the end of December. Two additional wells will
be drilled, also in the Sedalia area, early in 2010. Magnum is
currently reviewing its lands and drilling opportunities to
determine the locations for additional drilling or re-entry
opportunities to incur the balance of qualifying flow-through
expenditures.
ON BEHALF OF THE COMPANY
Richard A. Nemeth, President
Forward Looking Statements:
Some of the statements contained herein may be forward-looking
statements which involve known and unknown risks and uncertainties.
Without limitation, statements regarding potential mineralization
and resources, exploration results, and future plans and objectives
of the Company are forward looking statements that involve various
risks. The following are important factors that could cause the
Company's actual results to differ materially from those expressed
or implied by such forward looking statements: changes in the world
wide price of mineral commodities, general market conditions, risks
inherent in mineral exploration, risks associated with development,
construction and mining operations, the uncertainty of future
profitability and the uncertainty of access to additional capital.
There can be no assurance that forward-looking statements will
prove to be accurate as actual results and future events may differ
materially from those anticipated in such statements. The Company
undertakes no obligation to update such forward-looking statements
if circumstances or management's estimates or opinions should
change. The reader is cautioned not to place undue reliance on such
forward-looking statements.
Neither TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
Contacts: Magnum Energy Inc. Richard Nemeth President & CEO
604.669.3155 rnemeth@magnumenergyinc.com
www.magnumenergyinc.com