CANADA ENERGY PARTNERS ARRANGES PRIVATE PLACEMENT

/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES/

VANCOUVER, BC, Jan. 6, 2022 /CNW/ - Canada Energy Partners Inc. (NEX: CE.H) (the "Company") announces a non-brokered private placement to raise gross proceeds of up to $400,000 through the issuance of up to 5,000,000 units at a purchase price of $0.08 per unit.

Each unit shall consist of one common share and one non-transferable common share purchase warrant. Each warrant entitles the holder to acquire one share at an exercise price of $0.12 for a period of 12 months following the closing date of the private placement. Subject to TSX Venture Exchange (the "Exchange") acceptance, the Company may pay a finder's fee in cash or finders' warrants to arm's-length finders in amounts to be negotiated.

The Company intends to use the net proceeds of the private placement means for working capital, including due diligence expenses on potential acquisition opportunities.

The Company is engaged in negotiations with the Government of Gabon for the purpose of concluding a Profit-Sharing Agreement related to the development of the Konzi Oil Project. The Company has signed a Letter of Intent (see the Company's press release of September 9, 2021) with the Gabonese government. The Company has submitted an economic proposal for review by the Ministry of Hydrocarbons and is awaiting their comments. Personnel from the Company are planning to be in Gabon early in February to continue negotiations and to conduct further due diligence regarding the Konzi Project.

All securities to be issued in connection with the private placement will be subject to a four-month hold period from the closing date under applicable securities laws in Canada. Closing of the private placement is subject to approval of the Exchange.  

At the closing of this private placement, it is anticipated that the Company will have approximately 23 million shares outstanding.

The securities being offered under the Private Placement have not been, nor will they be registered under the United States Securities Act of 1933, as amended, or state securities laws and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons absent U.S. federal and state registration or an applicable exemption from the U.S. registration requirements. This release does not constitute an offer for sale of securities in the United States.

On behalf of the Board of Directors of
Canada Energy Partners Inc.

Grant Hall
President

Neither the TSX Venture Exchange nor its Regulation Services Provider (as such term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

This press release contains forward-looking statements within the meaning of applicable securities laws. Forward-looking statements are frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate" and other similar words or statements that certain events or conditions "may" or "will" occur, including, without limitation, estimated revenues. Forward-looking statements in this press release include statements about entering a Letter of Intent, the planned use of proceeds of the Private Placement and regulatory approval to the Private Placement. Forward-looking statements are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. These factors include, without limitation, that the Company does not enter a Letter of Intent or receive final regulatory approval to the Private Placement. Readers are cautioned that reliance on such information may not be appropriate for other purposes. The forward-looking statements contained in this press release are made as of the date hereof, and the Company undertakes no obligation to update publicly or revise any forward-looking statements, whether because of new information, future events or otherwise, unless so required by law.

SOURCE Canada Energy Partners Inc.

CANADA ENERGY PARTNERS INC., 650 - 669 Howe Street, Vancouver, BC V6C 0B4, Attention: Grant Hall, President and CEO, Email: [email protected], Direct Phone: [phone]