Trillion Energy International Inc said it has closed the first tranche of its previously announced non-brokered private placement.
In connection with the first tranche, the company issued an aggregate of 46,368,643 units at a price of $0.165 each for aggregate gross proceeds of $7,651,000.
The units are comprised of one common share and one half of one share purchase warrant of Trillion. Each whole warrant entitles the holder to purchase one common share for $0.45 expiring two years from the date of the closing of the offering.
The warrants include an acceleration provision whereby if the company's Common Shares trade at a price greater than $1.00 for a period of 20 trading days, Trillion Energy may accelerate the expiry of the warrants.
READ: Trillion Energy plans non-brokered private placement for aggregate gross proceeds of up to a maximum of $10M
In connection with the first tranche, the company paid finders fees to eligible finders in the approximate amount $459,000 and issued to the finder's an aggregate of approximately 2,780,000 broker warrants. Each broker warrant is exercisable for a period of 24 months from the date of issue and entitles the holder to acquire one common share at a price of $0.45 each.
The securities issued are subject to a four-month hold period from the date of the closing of the offering.
The company said it intends to complete additional closings until the earlier of the being fully subscribed and March 24, 2022.
Trillion Energy is an oil and gas producing company with multiple assets throughout Turkey and Bulgaria. The company is 49% owner of the SASB natural gas field, one of the Black Sea's first and largest-scale natural gas development projects; a 19.6% (except three wells with 9.8%) interest in the Cendere oil field; and in Bulgaria, the Vranino 1-11 block, a prospective unconventional natural gas property.
Contact the author at jon.hopkins@proactiveinvestors.com