Marksmen Energy Inc. (TSXV: MAH) plans to complete a non-brokered private placement of up to 10 million units at $0.125 per unit for aggregate gross proceeds of up to C $1.25 million.
The units will be comprised of one common share and one-half share purchase warrant. Each whole warrant entitles the holder thereof to purchase one common share for $0.18 expiring three years from the date of the closing of the offering, provided that, if the common shares close at or above $0.40 for 10 trading days at any time after the expiry of four months and one day from the date of issuance, the expiry date shall be automatically reduced to the date that is 30 days after the date the company provides written notice to the holders of warrants of the new expiry date.
Marksmen may pay a commission or finder's fee to qualified non-related parties of up to 8% or $100,000 of the gross proceeds of the offering and broker warrants equal to up to 8% or 800,000 of the number of units sold in the offering. Each broker warrant will entitle the holder to acquire one common share at a price of $0.125 per broker warrant for a period of up to 12 months from the date of issuance.
Proceeds of the offering will be used for seismic, drilling and advancing projects in Ohio.
Completion of the offering is subject to regulatory approval including, but not limited to, the approval of the TSX Venture Exchange Inc. The common shares and warrants issued will be subject to a four month hold period from the date of the closing of the offering.
Marksmen Energy Inc. engages in the exploration, development, and production of petroleum and natural gas properties in Western Canada. The company is headquartered in Calgary.