Super Nova Petroleum CSE:SNP OTCBB:SNOVF Announcing Financings

Super Nova Petroleum (CSE:SNP) (OTCBB:SNOVF) has announced the closing of the first tranche in the amount of $225,000 of the previously announced $420,000 private placement. The Company has increased the private placement to $600,000 as well as an offering for a Convertible Note in the amount of $450,000.

The terms for the Convertible Note is 33 units at $13,636 per unit for a total of $450,000. Minimum investment is one (1) unit for $13,636. Maturity is 12 months from date of closing. Further details:

  • Interest rate (coupon): 10% payable in advance in $0.06 common shares of SNP = 750,000 common shares issued upon closing of the financing to the investor or 22,726 common shares per unit of $13,636.

Convertibility of Note (dual conversion feature):

(1)   Each unit of $13,636 for a total of 33 units = $450,000. Each unit of $13,636 is convertible into 1% of the gas well’s net revenue interest.

(2)   Alternatively, each unit of $13,636 can be converted into common shares of SNP at a conversion price of $0.15, or 90,906 common shares and 3,000,000 common shares for the entire $450,000 offering.

(3)   As a second alternative the investor is entitled to his investment returned of $13,636, provided the well to be drilled is a producer of natural gas.

(4)      In the event of a dry hole, the investment of $13,636 will be automatically converted into $0.05 common stock of the Company totaling 272,720 common shares per unit, and potentially up to 9,000,000 common shares for the entire $450,000 offering.

The investors who participate in this offering will have first right at additional    potential future offerings in offsetting wells, up to 48 in total.

The Company will be drilling gas wells on its 17000+ acres in the Bakken Fairway in Northwest Montana. The Company has received a N.I. 51- 101 report on this property with a prospective resource for gas in the Eagle sands at 3000ft. of worst case 2 BCF expected case 18 BCF and high case 90 BCF of gas.

The property has a well (The Milford Colony Well) which has been permitted, drilled and cased to 880 ft. The Company intends to re-enter this well and drill to 3,000 ft. to the perspective resource of natural gas in the Eagle sands. The Company may decide to drill deeper to the 8800 ft. level to the Bakken formation to test for a possible oil reservoir.

The resource may not be discovered and if discovered may not be economical viable.

Contact me if you are interested in participating in either of these financing offerings.

Nancy 604-507-3377


Petro One “POP” Write Up by James Hudson (AlphaFlight Portfolios Inc.)

This article provides a great overview of Petro One Energy “TSX.V-POP” including a valuation of the company’s assets.

James Hudson Quote…

“POP is trading at 31% of the most conservative valuation of its cash and assets.

With this in mind, the stock chart over the last year has been technically perfect to the upside. Petro One’s share price has more than doubled, on strong volume against an overall weakening market, over the past year.

On June 6, 2011, Petro One announced it had begun drilling with an aim towards near-term light, sweet crude production. Folks, we are looking at textbook case of an emerging junior Oil producer doing all things right. I expect we will see significant cash flow sometime this year.

There is no question as to what direction Petro One’s share price is headed. It will simply be a case of how much production will come online, how fast, and how long the company will last before it is taken out.”