InterOil Finalizes $25 Million Private Placement

InterOil has finalized the private placement with institutional investors yielding net proceeds of US$23.5 million announced on November 12. The transaction involved the sale of 1,078,516 common shares at a purchase price of US$23.18 per share.

The issuance of the first 431,406 common shares, yielding net proceeds of US$9.4 million, closed on November 9, 2007. The remaining portion of the placement closed on December 19 following all requisite regulatory approvals having been obtained during November. InterOil plans to use the net proceeds of this offering to conduct appraisal and development activities on the Elk / Antelope structures and for general corporate purposes.

InterOil's common shares trade on the Toronto Stock Exchange under the symbol IOL in Canadian dollars and on the American Stock Exchange under the symbol IOC in US dollars.