Laredo Oil Raises $750,000 in Private Offering of Unregistered Common Shares

Rhea-AI Summary

Laredo Oil (OTC Pink Sheets: LRDC) has raised $750,000 through a private offering of unregistered common shares. The company sold 1,695,349 shares at an average price of $0.4424 per share to accredited investors since the end of its fiscal year on May 31, 2024. The shares are not registered under the Securities Act of 1933 and cannot be offered or sold in the U.S. without registration or an applicable exemption.

CEO Mark See stated that the funds were raised based on progress in developing mineral rights in northwestern Montana. The company is preparing to put several wells into production, including three associated with Texakoma Exploration & Production Company and their Reddig 11-21 and Olfert 11-4 wells. This is pending the opening of the recently acquired Cranston saltwater disposal well, expected within two weeks. The Cranston well removes a significant obstacle for ramping up field production, and converting two additional shut-in saltwater disposal wells will support future drilling programs.

Positive

• Raised $750,000 in gross proceeds through private stock offering
• Preparing to put multiple wells into production
• Acquired Cranston saltwater disposal well, removing a production roadblock
• Plans to convert additional saltwater disposal wells to support future drilling

Negative

• Shares sold are unregistered, limiting their tradability
• Potential dilution of existing shareholders due to new share issuance

News Market Reaction

-4.74%

1 alert

-4.74% News Effect

On the day this news was published, LRDC declined 4.74%, reflecting a moderate negative market reaction.

Data tracked by StockTitan Argus on the day of publication.

AUSTIN, Texas, Oct. 9, 2024 /PRNewswire/ -- Laredo Oil, Inc. ("Laredo Oil") (OTC Pink Sheets: LRDC), an oil exploration and production company with over 30,000 net acres of mineral rights located north of the Fort Peck reservation in Montana has sold since the end of its fiscal year ended May 31, 2024, 1,695,349 shares of common stock (the "Shares") to accredited investors at an average price of $0.4424 per share for gross proceeds of $750,000.  There was no finder's fee related to the sale of the shares.   The Shares have not been registered under the Securities Act of 1933, as amended (the "Securities Act"), and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements under the Securities Act.

Mark See, Chairman and CEO of Laredo Oil, commented "Based upon our previously reported progress concerning the development of our mineral rights in northwestern Montana, we have entered into common stock purchase agreements with several accredited investors, raising $750,000 in gross proceeds through the sale of common stock in transactions exempt from the registration requirements of the Securities Act.  The three wells associated with the Texakoma Exploration & Production Company agreement, and our Reddig 11-21 and Olfert 11-4 wells will soon be put into production pending our opening the recently acquired Cranston saltwater disposal well which we expect within the next two weeks.  The Cranston well removes a significant roadblock for our ramping up field production in the immediate term, and converting the two additional shut-in saltwater disposal wells acquired with Cranston will provide Texakoma and Lustre the necessary water disposal capacity to continue with their respective drilling programs going forward, currently planned at seven additional wells."

About Laredo Oil Inc.
Laredo Oil, Inc. (www.laredo-oil.com) is an oil exploration and production company primarily engaged in acquisition and exploration efforts for mineral properties. In addition to pursuing conventional oil recovery methods in selected oil fields, Laredo Oil plans to locate and acquire mature oil fields, with the intention of recovering "stranded" oil using enhanced recovery methods. Laredo Oil's common stock is listed on the Pink Sheets under the symbol, "LRDC."

Forward-Looking Statements

This press release and the statements made by Laredo Oil in this press release may be forward-looking in nature and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements describe Laredo Oil's future plans, projections, strategies, and expectations, and may be identified by words such as "expects," "anticipates," "intends," "plans," "believes," "seeks," "estimates" or words of similar meaning.  These forward-looking statements are based on assumptions and involve a number of risks, uncertainties, situations and other factors that may cause our or our industry's actual results, level of activity, performance or achievements to be materially different from any future results expressed or implied by these statements. These factors include changes in interest rates, market competition, changes in the local and national economies, and various other factors detailed from time to time in Laredo Oil's SEC reports and filings, including its Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. Laredo Oil undertakes no obligation to update publicly any forward-looking statements to reflect new information, events or circumstances after the date hereof to reflect the occurrence of unanticipated events.

View original content:https://www.prnewswire.com/news-releases/laredo-oil-raises-750-000-in-private-offering-of-unregistered-common-shares-302271384.html

SOURCE Laredo Oil, Inc.

FAQ

How much did Laredo Oil (LRDC) raise in its recent private offering?

Laredo Oil (LRDC) raised $750,000 in gross proceeds through a private offering of unregistered common shares to accredited investors.

What was the average price per share in Laredo Oil's (LRDC) recent stock sale?

The average price per share in Laredo Oil's (LRDC) recent stock sale was $0.4424.

How many shares did Laredo Oil (LRDC) sell in its recent private offering?

Laredo Oil (LRDC) sold 1,695,349 shares of common stock in its recent private offering.

What is the purpose of Laredo Oil's (LRDC) recent $750,000 fundraising?

The funds raised will support Laredo Oil's (LRDC) development of mineral rights in northwestern Montana and the preparation of several wells for production.

What is the significance of the Cranston saltwater disposal well for Laredo Oil (LRDC)?

The Cranston saltwater disposal well removes a significant roadblock for Laredo Oil (LRDC) to ramp up field production and supports future drilling programs.