CALGARY, ALBERTA--(Marketwire - Sept. 11, 2012) -
NOT FOR DISTRIBUTION TO THE U.S. NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES.
CYGAM Energy Inc. (TSX VENTURE:CYG) ("CYGAM", or the "Company"), an emerging oil and gas company with interests in Tunisia and Italy, is pleased to announce that the Company intends to complete a non-brokered private placement of up to 9.6 million common shares of the Corporation at a price of $0.25 per share for gross proceeds of up to $2.4 million.
Insiders of the Company are expected to participate in the offering. All shares to be issued will be subject to a four month and one day hold period. There will be 112.5 million common shares outstanding, assuming the private placement is fully subscribed for. Completion of the offering is subject to the approval of the TSX Venture Exchange.
CYGAM intends to use the net proceeds of the private placement to fund ongoing development drilling expenditures at the TT Field in Tunisia and for general working capital purposes.
Forward Looking Information
Certain information and statements contained in this press release constitute forward-looking information under applicable securities laws. Specifically this press release contains forward-looking information relating to: the private placement, the issuance of common shares, the gross proceeds of the private placement, the use of proceeds, the purchase price per share and other statements that are forward-looking statements. The forward-looking information contained in this press release speaks only as of the date of this press release and is expressly qualified by this cautionary statement. This forward-looking information is based on certain key assumptions regarding, among other things, the receipt of regulatory approvals, industry conditions within the jurisdictions in which the Company operates, and global economic conditions. Furthermore, this forward-looking information is subject to a variety of risks and uncertainties and other factors that could cause actual events or outcomes to differ materially from those anticipated or implied by such forward-looking information. Such factors include, but are not limited to global economic conditions, a failure to obtain required regulatory approvals, changes in laws and regulations and changes in how they are interpreted and enforced, increased competition, volatility of commodity prices, and the inability to complete the transactions or to obtain required regulatory approval. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking information. CYGAM's actual results, performance or achievement could differ materially from those expressed in, or implied by, this forward-looking information, or if any of them do so, what benefits that CYGAM will derive therefrom. CYGAM disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by law.
Neither the 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.