Horizon Petroleum's Strategic Private Placement: Fueling Growth and Reinstatement

Horizon Petroleum Ltd. (TSXV: HPL.H) has announced a non-brokered private placement of units to a strategic investor, raising CAD $1,062,035. This strategic move is expected to have a significant impact on the company's financial position and operations, positioning it for long-term growth and reinstatement to the TSX Venture Exchange.

The private placement, which closed on October 6, 2022, involved the issuance of 1,045,455 units at a price of CAD$0.05 per unit. Each unit consists of one common share and one common share purchase warrant, exercisable at CAD$0.10 per share for a period of 12 months following the closing date. The funds raised will be used for general working capital and advancing the Company's projects in Poland.



The private placement is subject to TSX Venture Exchange final acceptance, which, upon approval, will reinstate Horizon from the NEX board to Tier 2 of the Venture Exchange. This reinstatement will increase the Company's visibility and accessibility to investors, potentially leading to further growth opportunities.

The pricing of the units in Horizon Petroleum's private placement reflects both the current market conditions and the company's prospects. The increase in price from CAD$0.02 to CAD$0.05 indicates that investors are willing to pay a higher price for the units, likely due to improved market sentiment or a perceived increase in the company's value. This increase in price may also reflect the company's urgent need for funding to support its operations and growth initiatives.

In conclusion, Horizon Petroleum's strategic private placement brings several benefits to the company's long-term growth, including funding for expansion and development, strengthening its financial position, and enhancing its visibility and access to capital markets. The reinstatement to the TSX Venture Exchange will further support the company's growth and expansion in the European natural gas market.