Your browser does not support script
Gordon Creek Energy

Show printable version of 'Gas Linked Debenture Financing Update and Non-Brok...' in a New Window

News Releases
 August 24, 2010
Gas Linked Debenture Financing Update and Non-Brokered Private Placement

 Thunderbird Energy Corp. (TSX-V: TBD) (the "Company" or "Thunderbird") announces that further to the Company's news release dated July 19, 2010 concerning the $7.5 million natural gas linked debenture issue, Canaccord Genuity Corp. has been engaged on a commercially reasonable efforts basis to raise up to $2.5 million of the issue. Canaccord will receive a cash commission of 7.5% as well as 3 year Agent's Warrants to purchase one additional common share of the Company at a price of $0.20. The number of Agent's warrants will be calculated by dividing 10% of the proceeds raised by $0.20. Participants in the non-brokered portion of the offering will be offered similar compensation.

All of the other terms of the Gas Linked Debenture financing as announced July 19, 2010 remain the same.

The Company also announces that it will be conducting, on a non-brokered best-efforts basis, a private placement of up to $2,000,000 consisting of 13,333,333 units of the Company at a price of $0.15 per unit. Each unit consists of one common share and one non-transferable share purchase warrant. Each warrant is exercisable to purchase one common share of the Company at a price of $0.20 per share for two years. If, following the expiry of the 4 month hold period, the closing price of the Company's shares exceeds $0.30 for 20 consecutive trading days, the term of the warrants will be automatically reduced to a period of 30 days following the issuance of a press release announcing the reduced exercise term.

Although the financing is non-brokered, Thunderbird may pay a finders fee to persons that arrange for the sale of Units equal to 7.5% of the gross proceeds raised, as well as two year Agent's Warrants to purchase up to 10% of the Units sold at a price of $0.15 per Unit. Insiders of Thunderbird and their associates may purchase in excess of 25% of the issue.

Proceeds of the financings are intended to be used to refinance the Company's existing bank credit facility, for additional property acquisitions and for working capital.

You can return to the Top of this page