Nordic Oil & Gas Closes Private Placement



Donald Benson, Chairman and Chief Executive Officer of Nordic Oil and Gas reported the closing of the Corporation's previously announced private placement offering of units. The Corporation issued 752,500 units at a price of $0.20 per Unit for gross proceeds of $150,500 to various subscribers. Each Unit consisted of one Class A common share of the Corporation issued as a "flow-through share" within the meaning of the Income Tax Act (Canada) and one half of one Class A common share purchase warrant. Each whole Warrant entitles the holder thereof to purchase one regular Class A common share of the Corporation at a price of $0.30 for a period of two years from the date of issuance.

Certain finders assisted the Corporation by introducing potential subscribers for the Offering and each finder received fees equal to 6% of the purchase price of the Units sold to subscribers for the Offering introduced by such finder as well as warrants ("Finder's Warrants") equal to 8% of the number of Units sold to subscribers for the Offering introduced by such finder. Each Finder's Warrant entitles the holder thereof to purchase one regular Class A common share of the Corporation at a price of $0.30 for a period of 24 months from the date of issuance.

The closing of the Offering is subject to the final approval of the TSX Venture Exchange.

Mr. Benson also announced that the Corporation intends to undertake an additional private placement offering of up to 2,352,941 units (the "Additional Units") at a price of $0.17 per Additional Unit for gross proceeds of up to $400,000. Each Additional Unit will consist of one Class A common share of the Corporation and one half of one Class A common share purchase warrant. Each whole Additional Warrant will entitle the holder thereof to purchase one regular Class A common share of the Corporation at a price of $0.30 for a period of 24 months from the date of issuance.

Certain finders are expected to assist the Corporation by introducing potential subscriber(s) for the Additional Offering and, subject to compliance with applicable legislation, will be entitled to receive fees equal to 6% of the purchase price of the Additional Units sold pursuant to the Additional Offering as well as warrants ("Additional Finder's Warrants") equal to 8% of the number of Additional Units sold pursuant to the Additional Offering. Each Additional Finder's Warrant shall entitle the holder thereof to purchase one regular Class A common share of the Corporation at a price of $0.30 for a period of 24 months from the date of issuance.

In addition, Mr. Benson stated that the Corporation also intends to undertake a further private placement offering of 5,000,000 units at a price of $0.20 per Unit for gross proceeds of $1,000,000 to various subscribers. Each Unit would consist of one Class A common share of the Corporation issued as a "flow-through share" within the meaning of the Income Tax Act (Canada) and one half of one Class A common share purchase warrant. Each whole Warrant would entitle the holder thereof to purchase one regular Class A common share of the Corporation at a price of $0.30 for a period of two years from the date of issuance.

All terms of the two Additional Offerings are subject to the approval of the TSX Venture Exchange.

In other news, Mr. Benson also announced today that the Corporation has made a second down payment on the lands it is acquiring in Alberta, as per its News Release dated June 29, 2007. The date for final closing of the transaction is October 1, 2007, and is subject to customary industry regulations and conditions. The Corporation entered into an agreement to acquire approximately 8,000 acres of Petroleum & Natural Gas leases in the Peace River Arch and Lloydminster regions of Alberta. Nordic will acquire these assets for cash considerations of $200,000, plus 1.5 million Class A Common Shares of the Corporation at a price of $0.30 per share, for a total acquisition price of $650,000.

Nordic Oil and Gas Ltd. is a junior oil and gas company engaged in the exploration and development of oil, natural gas and Coal Bed Methane in Alberta and Saskatchewan. The Corporation is listed on the TSX Venture Exchange and trades under the symbol NOG.

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