Attached files
Exhibit
99.1
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China
North East Petroleum Holdings Ltd. to Raise $13.5 Million in Registered
Direct Offering
14
Dec 09 12:28
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HARBIN,
China and NEW YORK, Dec 14, 2009 /PRNewswire-Asia-FirstCall via COMTEX/ --
China North East Petroleum Holdings Limited (the "Company") (AMEX: NEP), a
leading independent oil producing and oilfield services company in
Northern China, has entered into definitive agreements to sell 1,963,637
million shares of its common stock at a price per share of $6.875 pursuant
to a registered direct offering to several select institutional investors,
representing gross proceeds of approximately $13.5 million.
Investors
will also receive warrants to purchase 392,728 shares of China North East
Petroleum Holdings Ltd.'s common stock. The warrants have an exercise
price of $8.10 per share and are exercisable beginning six months after
the closing of the transaction and before the two and a half year
anniversary of such initial issuance date. The closing of the offering is
expected to take place on or about Thursday, December 17, 2009, subject to
the satisfaction of customary closing conditions. China North East
Petroleum Holdings Ltd. plans to use the net proceeds from the offering to
redeem its 8% Senior Debenture issued to Lotusbox Investments Ltd on
February 28, 2008 and for general working capital purposes.
The
shares and warrants are being offered by China North East Petroleum
Holdings Ltd. pursuant to an effective shelf registration statement filed
with the Securities and Exchange Commission dated September 9th, 2009.
Rodman & Renshaw, LLC, a wholly owned subsidiary of Rodman &
Renshaw Capital Group, Inc., acted as the exclusive placement agent for
the transaction.
This
press release shall not constitute an offer to sell or the solicitation of
an offer to buy nor shall there be any sale of the securities in any state
or jurisdiction in which such offer, solicitation or sale would be
unlawful prior to registration or qualification under the securities laws
of any such state or jurisdiction. The shares of common stock may only be
offered by means of a prospectus. Copies of the final prospectus
supplement and accompanying base prospectus can be obtained from the SEC's
website at http://www.sec.gov .
ABOUT
CHINA NORTH EAST PETROLEUM
China
North East Petroleum Holdings Limited is an independent oil company that
engages in the production of crude oil in Northern China. The Company is a
pioneer in China's private oil exploration and production industry, and
the first Chinese non-state-owned oil company trading on the NYSE
Amex.
The
Company has a guaranteed arrangement with the PetroChina to sell its
produced crude oil for use in the China marketplace. The Company currently
operates four oilfields in Northern China. The Company also recently added
an oil service subsidiary through its acquisition of Song Yuan Tiancheng
Drilling Engineering Co. Ltd. ("Tiancheng"). For more information about
the Company, please visit http://www.cnepetroleum.com .
Statements
in this press release which are not historical data are forward-looking
statements which involve known and unknown risks, uncertainties or other
factors not under the company's control, which may cause actual results,
performance or achievements of the company to be materially different from
the results, performance or other expectations implied by these
forward-looking statements. These factors include, but are not limited to,
those detailed in the company's periodic filings with the Securities and
Exchange Commission.
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For
more information, please contact:
United
States:
Chao
Jiang
Senior
Vice President, Corporate Finance
Tel: +1-212-307-3568
Email:
chao.jiang@cnepetroleum.com
ICR,
Inc.
Bill
Zima
Tel:
+1-203-682-8200
China:
Yang
Dio Zhang
Chief
Financial Officer
Tel:
+86-451-5558-0253
Email:
dio.zhang@cnepetroleum.com
SOURCE
China North East Petroleum Holdings Limited
http://www.cnepetroleum.com
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