VANCOUVER, BRITISH COLUMBIA--(Marketwired - May 7, 2013) -
NOT FOR RELEASE, PUBLICATION ORDISSEMINATION IN THE UNITED STATES. ANY FAILURE TO COMPLY WITH THIS RESTRICTION MAY CONSTITUTE A VIOLATION OF U.S. SECURITIES LAWS
Vanoil Energy Ltd. (TSX VENTURE:VEL), an oil and gas company with a portfolio of assets in East Africa ("Vanoil" or the "Company") has filed with, and obtained receipt for, a preliminary short form prospectus from the securities regulatory authorities in British Columbia, Alberta and Ontario (the "Qualifying Provinces") in connection with a marketed offering (the "Offering") of common shares. The Offering will also be made in such other jurisdictions outside of Canada where the Offering can be completed on a private-placement basis, exempt from any prospectus, registration or other similar requirements.
The Offering will be led by GMP Securities L.P. ("GMP") and will be conducted on a best efforts agency basis. The final terms of the Offering, including size and price, will be determined in the context of the market, and the net proceeds will be primarily used to fund Vanoil's previously announced 2013 two-well drill program in Kenya commencing in July of this year. Vanoil has concurrently launched a farm-out process to find a suitable partner for its 100%-owned blocks 3A and 3B in the South Anza Basin, onshore Kenya, where the wells are being drilled, and the Company has an active work programme in place on its other East African licences, with two seismic surveys completed recently and two further wells to be drilled in 2014.
The Offering is subject to customary conditions and the receipt of required regulatory approvals, including the approval of the TSX Venture Exchange. The Offering is scheduled to close on or about June 3rd, 2013, or such other date as the Company and GMP may agree.
This news release does not constitute an offer to sell or a solicitation of an offer to buy any securities in the United States, nor shall there be any sale of the common shares in any jurisdiction in which such offer, solicitation or sale may be unlawful. The common shares have not been and will not be registered under the United States Securities Act of 1933, as amended (the "1933 Act") or any U.S. state securities laws and may not be offered or sold in the United States absent registration under the 1933 Act or an applicable exemption from the registration requirements of the 1933 Act and applicable U.S. state securities laws.