Aspen Group Closes Private Placement
Aspen Group Resources Corporation has closed its previously announced non-brokered private placement of 9,311,750 units at a price of $0.16 per unit for gross proceeds of $1,489,880.
Each unit consists of one common share and one share purchase warrant. Each share purchase warrant will entitle the holder to acquire one common share at an exercise price of $0.22 for a period of 18 months from closing. The securities issued will carry a four-month hold period under Canadian securities laws, ending March 30,2007. If the Company's shares close at or above $0.40 for ten consecutive days after March 30, 2007, the Company may accelerate the expiration by giving notice to the warrant holders, in which case the warrants will expire 30 days after the notice date. Proceeds from the private placement will be used to continue Aspen's oil and gas well program on its properties in Manitoba and for general working capital.
Aspen Group Resources Corporation is an independent oil and natural gas producer engaged in the acquisition, exploration, production and development of oil and natural gas properties in North America.