Strata-X Ltd. Announces Appointment of Advisory Firm
Golden, Colorado, and Edmonton, Alberta. May 15, 2012 - Strata-X Ltd. (“Strata-X” or the “Corporation”) wishes to announce a non-brokered private placement to raise up to $7,000,000 through the issuance of units and convertible notes. The Corporation is also proposing to allow for up to $1 million of over-allotment units or convertible notes. Each unit will be made up of one common share and one-half of a common share purchase warrant (“Unit”) at a price of $0.25 per Unit. Each whole warrant will entitle the holder to acquire one common share of the Corporation at a price of $0.60 per share for a period of 2 years from the date of closing. The convertible notes are redeemable convertible obligations of the Corporation which will be in denominations of $1,000 (the "Convertible Notes"). The Convertible Notes shall have a term of one year and the principal amount of the Convertible Notes shall bear interest at an annual rate of 5%, which interest shall be payable semi-annually in arrears and they shall be convertible to units at a deemed price of $0.28 per unit. Each unit will be made up of one common share and one-half of a common share purchase warrant. The Convertible Notes shall automatically convert at the end of term into such units. The Corporation does not intend to list the Convertible Notes on the TSX Venture Exchange and they will not be secured against the Corporation’s assets. The Convertible Notes will not have voting rights. The Corporation may pay finders’ fees to eligible parties and these fees may be in the form of cash or common shares.
The proceeds of the private placement will be used for acquisition of additional lands in the Corporation’s Vail project in the mid-continent of the United States ($4 million) general working capital ($750,000 ) and the costs of the offering. It is anticipated that current insiders of the Corporation may subscribe for up to $1 million in Units or Convertible Notes. It is not expected that the private placement will create any new insiders or control persons. The private placement is subject to approval of the TSX Venture Exchange.
Strata-X is a Edmonton, Alberta and Golden, Colorado based company and is engaged in the business of oil and gas exploration and development with a variety of exploration opportunities in North Dakota, and production and development opportunities in California and Texas. Strata-X has 42,563,156 common shares outstanding and trades under the symbol SXE on the TSX.V
For further information, please contact:
President and Chief Executive Officer
Public documents for Strata-X Ltd. (formerly known as Ozcapital Ventures Inc.) Can be found at SEDAR (www.sedar.com)