Simba Energy Inc. (the “Company”) (TSX Venture: SMB) (Frankfurt: GDA) (OTCQX: SMBZF) is pleased to announce that due to increased demand it has oversubscribed its non-brokered private placement (the “Private Placement”) announced on March 2, 2012.
Subject to final approval of the TSX Venture Exchange, up to 54,191,250 units (the “Units”) will be issued at $0.08 per Unit for gross proceeds of $4,335,300. Each Unit will consist of one common share of the Company and one common share purchase warrant (a “Warrant”). Each Warrant will be exercisable into one common share of the Company for a period of 24 months from closing at an exercise price of $0.16 per share.
The proceeds of the Private Placement will be used for advancing all outstanding Production Sharing Contracts (PSC) and for general working capital. Finder’s fees may be payable in whole or part on the Private Placement in accordance with the policies of the TSX Venture Exchange.
The securities issued with respect to the Private Placement will be subject to a four month hold period in accordance with applicable Canadian securities laws. Closing of the Private Placement is expected to occur on or before April 5, 2012 and is subject to receipt of all necessary regulatory approvals.
About Simba Energy Inc.
Simba Energy is a Vancouver, B.C. based oil and gas exploration company focusing on underexplored overlooked basins in its pursuit of hydrocarbon opportunities in Africa (currently Kenya, Liberia, Mali, Guinea and Ghana). These regions have shown increased promise for the development of new hydrocarbon deposits. The Company's senior management team aims to leverage its expertise and affiliations to pursue, secure and develop strategic assets that demonstrate high potential for drilling and or production operations; and to do so in a manner of best practices and to the betterment of those communities where it operates.