Brinx Completes Private Placement
Brinx Resources Ltd. said Monday that it has completed a private placement in the amount of US$499,993.
The Company will issue 384,610 restricted units to an accredited investor at the price of $1.30 per unit. A unit is comprised of one common share and one common share purchase warrant exercisable at $1.80 per share within 24 months of issuance. The Company does not intend to file a registration statement with the Securities and Exchange Commission related to these units, thus the shares issued will be restricted under various regulatory provisions.
The proceeds of this financing are expected to be sufficient to meet the Company's obligations with respect to its 42.5% to a 70% working interest in the Owl Creek prospect in Oklahoma. These obligations include drilling of the Isbill #1 that is an offset well to the producing Powell #1 and Powell #2 well. It is anticipated drilling of this well will start later this month. As of August 7, 2006 a total of 7,783 barrels of oil have been sold thus far from the Powell #2. The Powell #2 is also producing high btu natural gas at a rate of between 40 and 50 mcf per day.
Brinx Resources is an expanding exploration company focused on developing North American oil and natural gas reserves. The Company's current focus is on the continued exploration and development of its land portfolio comprised of working interests in the Three Sand Project in Noble County, Oklahoma (40% interest); the Owl Creek Project in McClain County, Oklahoma (42.5% to 70% interest); and the Palmetto Point Project in Mississippi (10% interest). Brinx Resources is seeking to expand its portfolio to include additional interests North America.
- Brinx, Partners Complete Development Oil Well in Oklahoma (Sep 07)
- Brinx, Partners to Drill Development Well in Oklahoma (Jul 12)
- Brinx Charges Ahead in Southern Ok. Seismic Program (Mar 29)