03 December 2002 10:46
Teton Petroleum Raises $2.5 Million Private Placement With Significant Institutional Participation, Russian Oil Revenues Increase Dramatically in the Third Quarter
STEAMBOAT SPRINGS, Colo., Dec. 3 /CNW/ -- Teton Petroleum Company (OTC Bulletin Board: TTPT, Frankfurt: TP9)
announced the Company has raised $2,500,000 from a private placement of its common shares. The investment in Teton was
led by Global Undervalued Securities Master Fund LP, of Fort Worth, TX, and also included several other institutional
investment sources, including the Arlington Group PLC, and Lion Resource Management, based in London, England. In
addition, the Company converted $4.4 million in convertible debentures, which now makes Teton debt free. "The
recent private placement in Teton provides working capital, which will be used to drill more wells in 2003 and increase
its production in Russia. The increased production will enable the company to increase its sales revenue substantially
from the additional oil produced," said Tom Conroy, CFO of Teton. The current amount of shares outstanding,
including the conversion of debentures and the private placement, are 58.55 million shares. The Company announced its
results for the third quarter and nine months ended September 30, 2002. Revenues for the third quarter of 2002 increased
to a record $2.2 million compared to the third quarter 2001 revenues of $402,000. For the past nine months revenues
increased to a record $4.3 million compared to $1.1 million for the first nine months of 2001. "We are extremely
pleased to have significantly increased our revenues in Russia this year. This is a direct result of our successful
drilling program which increased our daily oil production to 1,700 barrels per day in the third quarter 2002, a
significant increase from 500 barrels per day in the third quarter 2001," said H. Howard Cooper, President and CEO
of Teton. In the third quarter, Teton continued to cut its operating expenses and reported a net cash loss of $600,000
or ($0.03) per fully diluted share versus a net loss of $1,224,000 or ($0.06) per fully diluted share for the Second
Quarter 2002. During the first three quarters of 2002, Teton reported a net loss of $8.0 million or ($0.26) per share
which included a one time non-cash expense attributed to Teton's convertible debentures of $5.5 million or ($0.18)
per share. Teton Petroleum is an independent oil and gas exploration and production company, with its principal
operations in Russia. Additional information about Teton is available at its web site, www.tetonpetroleum.com . This
press release may make forward-looking statements, which are subject to various uncertainties and risks that could
affect their outcome. Factors, which could cause or contribute to differences include, but are not limited to, economic
conditions, product demand and sales, interest rates, foreign currency exchange rates, competition and competitors'
actions, and changes in the petroleum industry. Please refer to the company's 10-K, 10-Qs and other SEC filings for
a more detailed discussion of the risks. This press release does not constitute an offer to sell or solicitation of an
offer to buy Teton Petroleum securities. For further information, please contact: USA, Greg Powell, General Manager,
greg#ctapr.com, or Bevo Beaven, Vice President, both of CTA Public Relations, +1-303-665-4200; or CANADA, John Robinson
of Current Capital, +1-416-860-0211, john#currentcapital.com.
VIEW ADDITIONAL COMPANY-SPECIFIC INFORMATION: http://www.newswire.ca/cgi-bin/inquiry.cgi?OKEY=71818 /For further
information: USA, Greg Powell, General Manager, greg(at)ctapr.com, or Bevo Beaven, Vice President, both of CTA Public
Relations, +1-303-665-4200; or CANADA, John Robinson of Current Capital, +1-416-860-0211, john(at)currentcapital.com/
/Web site: http://www.tetonpetroleum.com / (TTPT)
[CAIW [Corporate Announcements Intelligence Wire]] |
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