THE SUBSCRIPTION PERIOD EXTENDED AND OPEN SHARE ISSUE, ALSO APPLICATION FOR ALBERTA OPERATING LICENSE SUBMITTED
The Company continues the share issue and financing of the Mega Pyramid drilling program for the 2009 winter season, which includes the drilling of at least 4 natural gas wells. Up until 14.11.2008 the share issue has been exclusive for existing shareholders and the results so far are promising, considering the current market climate. Several of the larger shareholders in Canada and Norway together with subscription guarantors have subscribed to shares. It is especially encouraging to see that several medium/small shareholders have taken the opportunity to increase their shareholdings in the share issue.
Based on this the subscriptions are getting close to half the amount of NOK 15 mill. As well as extending the subscription period the share issue will now be open for all potential new shareholders.
The Company has now submitted the application for Operating license to the ERCB (Energy Resources and Conservation Board in Alberta). Approval is expected within a short time. Thus the Company will be able to stand as operator by itself. We are continuing field surveys as a part of preparations for drilling permits.
Further, the well drilling sites have now been placed based on amongst other newly acquired seismic and interpretations thereof. Very promising results have yielded from the existing seismic that support our positive expectations of the geological structures in the area. We also continue our work on prospecting further seismic opportunities and partnerships for the 46 000 acres area. Negotiations for hiring of necessary rigs, equipment and manpower have begun as well as setting the time schedule for the drilling program. According to the plan the drilling shall be completed by the end of March 2009. The final schedule will of course be dependent upon the weather conditions. Completion and startup of production will commence shortly thereafter.
The total financing will determine the final extent of the drilling program for the coming winter season 1Q 2009. For an optimal implementation of this, the Company is seeking to raise up to NOK 15 mill of new capital. The Company is issuing up to 60 million new shares at NOK 0,25 per share to all existing shareholders as of 29th October 2008 that have till now subscribed. As of the 15th November the share issue will be open to all potential new shareholders. The subscription period is extended with up to 14 days and continues up until 28th November 2008. All settlement dates described in the application material are also extended with 14 days.
Application form and full prospectus as well as summary and presentation are available for download on the homepage www.nop.as. Netfonds is the settlement agent for the share issue. Procorp w/Gunnar Holen are the financial advisers.
Nordic Petroleum ASA
For more information contact managing director Arild Tolfsen. Mobile 930 99 859 – email: email@example.com