Canadian Superior plans $35 million; Arrowhead settles $4.4 million, First Nickel eyes C$4.5 million

By Devika Patel

Knoxville, Tenn., Aug. 26 - Canadian Superior Energy Inc. announced a $35 million fully subscribed private placement Tuesday intended to help the company with its exploration plans.

Separately, Arrowhead Research Corp. said it completed a $4.4 million registered direct offering of units, which is expected to remain ongoing until mid-September.

And after the close on Monday, Canada's First Nickel Inc. said it has arranged a C$4.5 million non-brokered private placement of stock to offset some of the mining and exploration company's exploration expenses.

Canadian Superior plans $35 million

Canadian Superior negotiated a $35 million non-brokered private placement of units with three of its existing shareholders.

The company will sell 8.75 million units of one common share and one half-share warrant at $4.00 per unit. Each whole warrant will be exercisable at $4.75 for one year.

Proceeds will be used for further funding the Calgary, Alta.-based company's exploration spending and new business development.

In a press release earlier this month, Canadian Superior said it had made a significant natural gas discovery with the drilling and production testing of its "Bounty" exploration well in Trinidad.

"We are very pleased with the results of the 'Bounty' well, and production testing indicates that we have drilled one of the best natural gas wells offshore Trinidad," the company's chairman, Greg Noval, said in an Aug. 13 press release. "The 'Bounty' natural gas discovery represents a significant achievement for Canadian Superior and our partners and shows the tremendous opportunities available to the oil and gas industry in Trinidad and Tobago."

The "Bounty" natural gas discovery is the second natural gas discovery Canadian Superior and its partners have made in 2008 on their block, approximately 60 miles off the east coast of Trinidad.

"The 'Bounty' discovery has met our expectations and has proven up a large high quality natural gas reservoir that in combination with our extensive 3-D seismic data in the area appears to exceed 7,000 acres in size," Canadian Superior chief executive officer Craig McKenzie said in the release.

"I am confident the 'Bounty' well will initially produce at approximately 200 mmcf/d of sales natural gas at the anticipated pipeline pressure. This compares favorably with production from the nearest analogous field, Dolphin Deep ... Given the magnitude of the 'Bounty' discovery, we plan to move forward expeditiously with appraisal and development drilling and production," McKenzie said.

The company is a crude oil and natural gas exploration and production company with an emphasis on exploring for and producing crude oil and natural gas in western Canada, Nova Scotia and Trinidad and Tobago.

Its shares (Amex: SNG) increased 6.67%, or 25 cents, closing at $4.00 on Tuesday.

Arrowhead wraps $4.4 million

Arrowhead, a developer of nanotechnology used in life sciences, electronics and energy, said it has taken in $4.4 million from a registered direct offering of the company's units, which were sold to senior management as well as outside investors.

"We thought it prudent to increase our liquidity during this time of general market uncertainty," Arrowhead chief executive officer Chris Anzalone said in a news release. "However, we are also sensitive to dilution of our shareholders, so we were careful with the amount of capital raised at this time.

"We are proud that this offering was completed entirely from current shareholders and senior management."

The company sold 2,281,990 units at $1.80 per unit to non-insiders for $4.11 million. The units consist of one common share and one warrant. Each warrant will be exercisable at $2.00.

Arrowhead also sold 177,596 units at $1.83 apiece to members of its senior management for $325,000.

The company may sell an additional 3,095,968 units in follow-on offerings at $1.80 per unit (or $1.83 per unit if purchased by a director or officer).

The offering is expected to continue until Sept. 15.

Proceeds will help fund operations and contribute to Arrowhead's runway to monetization events of its subsidiaries.

The Pasadena, Calif.-based company's shares (Nasdaq: ARWR) jumped 7.98%, or 13 cents, closing at $1.76 on Tuesday.

First Nickel plans C$4.5 million

First Nickel said after the close Monday that it has negotiated a C$4.5 million non-brokered private placement of stock with an institutional fund.

The company will sell 15 million flow-through common shares at C$0.30 apiece.

Proceeds will be used to fund exploration expenses in connection with the company's exploration projects located in Ontario.

"This flow through financing will be used to expand our aggressive exploration programs in Sudbury and south-eastern Ontario while allowing First Nickel to invest our cash from operations on reducing costs, improving efficiencies and adding to resources at the Lockerby Mine," president and chief executive officer William Anderson said in a release.

Its shares (Toronto: FNI) dropped 2.5%, or one-half of a cent, closing at C$0.195 on Tuesday.

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