TRANSEURO ENERGY
500 – 900 West Hastings Street
Vancouver, B.C. V6C 1E5
Transeuro Closes Debenture Financing
June 10, 2008 TSX-V/ Oslo Axess: TSU
Vancouver, Canada: – Mr. Hal Hemmerich, President and Chief Executive
Officer of Transeuro Energy Corp. (`Transeuro’ or the `Company’) is
pleased to announce the Company has completed a non-brokered private
placement of 4,000 units (the `Units’) for gross proceeds of
$4,000,000 (previously announced May 21, 2008).
Each Unit consisted of a secured eighteen month convertible debenture
(a `Debenture’) with a principal amount of $1,000 and 4,000 warrants
(the `Warrants’).
The Debentures will carry an interest rate of 12% per annum payable
semi-annually in arrears. The principal amount of each Debenture, plus
accrued interest, will be convertible into common shares at the
purchaser’s election at any time following the date that is six months
from the closing date up until the maturity date at a conversion price
equal to $0.25. The Company will have the right to repay the principal
amount of each Debenture, plus accrued interest, at any time without
penalty or charge.
The Debentures were issued pursuant to an indenture entered into
between the Company and Computershare Trust Company of Canada (the
`Trustee’). As security, the Trustee on behalf of the Debenture
holders has been granted a first priority security interest in
10,000,000 common shares of Eaglewood Energy Inc. held by Transeuro.
Each Warrant is exercisable for a period of eighteen months into a
common share of Transeuro at an exercise price equal to $0.25. The
Company has issued a total of 16,000,000 Warrants in connection with
the private placement.
Neither the Warrants nor the Debentures will be listed for trading on
the TSX Venture Exchange or the Oslo Axess.
All securities issued are subject to a hold period expiring on October
10, 2008. The net proceeds of the offering will be used for general
corporate purposes.
Transeuro Energy Corp. is involved in the acquisition of petroleum and
natural gas rights, the exploration for, and development and
production of crude oil, condensate and natural gas. The Company’s
properties are located in Canada, Ukraine and Armenia, and through
majority ownership in Eaglewood Energy Inc, in Papua New Guinea.
On behalf of the Board of Directors
`Harold Hemmerich’ President and CEO