VIVIAN, La., May 31, 2010 (GLOBE NEWSWIRE) -- Avro Energy, Inc. (OTCBB:AVOE) is pleased to announce that it has signed and received funding from a Private Placement for $250,000 (Two Hundred and Fifty Thousand Dollars). The terms of the private placement are that the subscriber, a Hong Kong-based Investment Firm, will receive 1,000,000 Units at a price of $0.25 per Unit. Each Unit consists of one restricted common share and one half share purchase warrant. Two half warrants will entitle the holder thereof to acquire one restricted common share at a purchase price of $0.50 per Share for a period of 18 months from the date of issue.
The Shares issued under this Private Placement are restricted and will bear the standard restrictive legend pursuant to Rule 144.
The Proceeds from this Private Placement will be used for the final payment and closing of the Eleven Deep Producing Oil Wells in Southern Arkansas as mentioned in the Company's news release dated October 24, 2009.
The Company did not pay any commissions or fees in regards to this $250,000 Private Placement Subscription Agreement.
As the Company continues to grow, the Company will be seeking additional institutional funding.
About the ArkLaTex Oil-Producing Region
The ArkLaTex is a U.S. socio-economic region where Arkansas, Louisiana, Texas, and Oklahoma intersect. The region is centered on the Shreveport/Bossier metropolitan area in Northwest Louisiana. The region's history is heavily linked with the oil industry. The geology associated with the deposition of sediments from the Mississippi River, in particular, makes this area an abundant source for the oil and gas industries, which leads to the high levels of oil production within the region.
About Avro Energy, Inc.
Avro Energy, Inc. is an independent energy company engaged in the acquisition, exploration and development of oil and natural gas properties, and providing oilfield services, primarily in the ArkLaTex region of North America. Avro's objective is to seek out and develop opportunities in the oil and natural gas sectors that represent low risk opportunities for the Company and its shareholders. In addition, Avro aims to seek larger projects that can be developed and produced with Joint Venture partners, with the eventual goal of becoming a junior oil and gas company.
More information about the Company is available at its corporate website at http://www.avroenergy.com/">http://www.avroenergy.com. Alternatively, shareholders can call the Company directly at 318-734-4737 or send an email to info@avroenergy.com.
Safe Harbor Statements
We may use certain terms in our press releases and on our website such as "will," "anticipates," "believes," "plans," "goal," "expects," "future," "retained," "valuation," "potential," "interested," and similar expressions are used to identify these forward-looking statements. You should not place undue reliance on forward-looking statements in this press release. You can review and obtain copies of our filings from the SEC's website at http://www.sec.gov/edgar.shtml">http://www.sec.gov/edgar.shtml. The OTCBB has not reviewed or does not accept responsibility for the adequacy or accuracy of this release. This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and, therefore, involve inherent risks and uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such risks and other factors include, among others, the actual results of exploration activities, variations in the underlying assumptions associated with the estimation or realization of resources, the availability of capital to fund programs and the resulting dilution caused by the raising of capital through the sale of shares, accidents, labor disputes and other risks of the industry including, without limitation, those associated with the environment, delays in obtaining governmental approvals, permits or financing or in the completion of development or construction activities, title disputes or claims limitations on insurance coverage. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements contained in this news release and in any document referred to in this news release. Actual results and outcomes may vary materially from what is expressed or forecast in such statements due to various risks and uncertainties. These risks and uncertainties include, among other things, the possibility of drilling cost overruns and technical difficulties, volatility of oil and gas prices, competition, risks inherent in the Company's oil and gas operations, the inexact nature of interpretation of seismic and other geological and geophysical data, imprecision of reserve estimates, and the Company's ability to replace and expand oil and gas reserves. Accordingly, stockholders and potential investors are cautioned that certain events or circumstances could cause actual results to differ materially from those projected.