CALGARY, Jan. 18, 2017 /CNW/ - Montana Exploration Corp.
("Montana" or the "Company") (TSXV: MTZ) is pleased
to announce that the Company raised gross proceeds of $1,496,245.34 from its previously announced
offering of rights ("Rights") which expired on January 13, 2017 (the "Rights
Offering"). Proceeds of the Rights Offering will be
applied to the Company's working capital deficiency and to fund
general and administrative expenses as the Company seeks partners
to build upon the success of the Company's five well drilling
program.
The Company issued an aggregate of 7,673,053 common shares
("Common Shares") resulting in a post-closing total of
57,463,928 outstanding Common Shares. No Common Shares were issued
pursuant to any stand-by commitment and no fees or commissions were
paid in connection with the Rights Offering.
Insiders of Montana subscribed for 6,827,491 Common Shares
comprised of 6,457,212 Common Shares under the basic subscription
privilege and 370,279 Common Shares under the additional
subscription privilege. All other persons subscribed for
337,396 Common Shares under the basic subscription privilege and
508,166 Common Shares under the additional subscription
privilege. Montana's principal shareholder, Vanco-Stock Ltd.
("Vanco"), subscribed for an aggregate of 6,776,620 Common
Shares for total proceeds of $1,321,440.90 in an aggregate amount equal to the
Rights held by Vanco both in registered and beneficial form meeting
Vanco's commitment to Montana. For administrative reasons,
Vanco exercised the additional subscription privilege in an amount
equal to the Rights held beneficially to reach that total.
This news release shall not constitute an offer to sell or
the solicitation of an offer to buy, nor shall there be any sale of
securities in the United States or
in any province, state or jurisdiction in which such offer,
solicitation or sale would be unlawful prior to the registration or
qualification under the securities laws of any such province, state
or jurisdiction. The securities referenced herein may not be
offered or sold in the United
States except in transactions exempt from or not subject to
the registration requirements of the United States Securities
Act of 1933, as amended, and applicable state securities
laws.
ABOUT MONTANA EXPLORATION CORP.
Montana Exploration Corp. is an oil and gas exploration and
production company focusing on the Shaunavon oil and Eagle gas opportunities
underlying its extensive land holdings and drilling rights in the
State of Montana. In the United States, the company operates
through its wholly-owned subsidiary, Montana Land & Exploration, Inc. The
Company's common shares are listed on the TSX Venture Exchange
under the trading symbol "MTZ". Additional information regarding
the company is available at www.SEDAR.com or at
www.MontanaExplorationCorp.com.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
SOURCE Montana Exploration Corp.