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PetroFrontier completes private placement

Energy
24 February 2020 13:07 (EDT)

Junior energy company PetroFrontier (TSXV:PFC) has completed a non-brokered private placement with ex-director Paul Cheung.

The placement issued 28,571,429 common shares at C$0.0525 per share to Cheung and raised a gross proceed of C$1.5 million.

The shares are subject to a four-month plus one day hold period following their date of issue.

Prior to the placement Cheung held 18,744,967 common shares, but now owns 47,316,396 shares, about 26.56 per cent shareholding in PetroFrontier. 

The funds will be used to develop the company’s assets in the Wabasca and Cold Lake areas of Alberta, and as working capital.

The company said Cheung purchased the shares for investment purposes and may consider increasing or decreasing his ownership in PetroFrontier via the open market or private negotiated agreements, depending on market conditions.

There was no movement on PetroFrontier shares, which traded at C$0.07 per share.

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