By Sheri Kasprzak
New York, Sept. 22 - Ausam Energy Corp. said it intends to raise up to US$60 million and at least US$45 million in a private placement as part of its acquisition of SKH Management, LP's leasehold rights to oil and gas properties in Texas. Also, the company has priced a C$1.75 million offering.
The pricing terms of the private placement for up to US$60 million have not been determined.
Under the terms of the acquisition, Ausam will issue 63,417,143 shares with a value of C$0.35 each for up to US$15 million.
In the C$1.75 million placement, the company plans to sell 4,375,000 units at C$0.40 each. The units include one share and one warrant. If the acquisition transaction fails, the warrants are exchangeable on a one-for-one basis for common shares of Noram Resources, Inc.
The full terms of the warrants could not be determined by press time Friday.
Calgary, Alta.-based Ausam is an oil and natural gas exploration company.
| Issuer: | Ausam Energy Corp.
|
| Issue: | Units of one share and one warrant
|
| Amount: | C$1.75 million
|
| Units: | 4,375,000
|
| Price: | C$0.40
|
| Warrants: | One warrant per unit
|
| Pricing date: | Sept. 22
|
| Stock symbol: | TSX Venture: AUZ
|
| Stock price: | C$0.33 at close Sept. 22
|
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