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NTN

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Share Name Share Symbol Market Type
TSXV:NTN TSX Venture Common Stock
  Price Change % Change Share Price Bid Price Offer Price High Price Low Price Open Price Shares Traded Last Trade
  0.00 0.00% 0 -

Newton Energy Corporation Announces Proposed Private Placement, the Entering into of an Option to Lease Agreement on the Belv...

28/08/2013 11:32pm

Marketwired Canada


Newton Energy Corporation (TSX VENTURE:NTN) (the "Company" or "Newton")
announces that it plans to complete a non-brokered private placement of up to
23,000,000 units (the "Units") of Newton at a price of $0.01 per Unit for
aggregate gross proceeds of up to $230,000 (the "Offering"). Each Unit will be
comprised of one common share ("Common Share") and one-half of one share
purchase warrant ("Warrant") of the Company. Each whole Warrant will entitle the
holder thereof to acquire an additional Common Share at a price of $0.05 per
Common Share for the first twelve months following the closing of the Offering
and at a price of $0.10 per Common Share for the subsequent four year period.
The Warrants will expire five years from the date of issuance.


The proceeds of the Offering will be used to make land lease obligations and
outstanding payables. Completion of the Offering is subject to regulatory
approval including, but not limited to, the approval of the TSX Venture Exchange
Inc. The securities issued will be subject to a four month hold period from the
date of the closing of the Offering.


Newton is also pleased to announce that it has entered into an option to lease
agreement (the "Option Agreement") between Newton Energy UK Limited ("Newton
UK"), a wholly owned UK subsidiary of the Company and an arm's length third
party (the "Landlord") dated August 13, 2013 (the "Effective Date"). The option
(the "Option") terminates on August 12, 2016 (the "Option Period"). Pursuant to
the Option Agreement, Newton UK has, during the Option Period, the exclusive
right to enter into and upon certain lands in the area of Redmile,
Leicestershire (the "Land") to carry out and undertake any land surveys, soil
surveys, archaeological surveys, ecological surveys, typographical surveys,
condition surveys, noise surveys and such other investigations as Newton UK may
require in order to make an application to the local planning authority for
permission (the "Planning Application") to construct a Petroleum wellsite and to
explore and test reserves of Petroleum on the Land. The Planning Application is
subject to prior review and comment of the Landlord. As consideration for the
Option, Newton UK paid to the Landlord an option fee.


In the event that Newton UK exercises the Option during the Option Period it
will have the right to lease the Land from the Landlord for a period of three
(3) years, following which Newton UK has an option to take an additional twenty
five (25) year lease in consideration for the payment a fixed rent for the first
three (3) years of the term and then such rent as may be payable under the terms
of the definitive lease agreement (the "Lease Agreement") to be entered into
between Newton UK and the Landlord at the time the Option is exercised.


Newton also announces the resignation of Steve Engwall as a director of the
Company. The board of directors would like to thank Mr. Engwall for his service
to the Company and wish him every success in his future endeavors.


About Newton

Newton holds UK East Midlands assets and is an emerging exploration and
production company. Newton is in discussions with several potential partners to
facilitate field appraisal and development of the Belvoir Prospect.


ADVISORY

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


This news release may contain certain forward-looking information and
statements, including without limitation, statements pertaining to receipt of
regulatory approval of the Offering and the exercise of the Option. Statements
included herein, other than statements of historical fact, including, are
forward-looking information and such information involves various risks and
uncertainties. There can be no assurance that such information will prove to be
accurate, and actual results and future events could differ materially from
those anticipated in such information. A description of assumptions used to
develop such forward-looking information and description of risk factors that
may cause actual results to differ materially from forward-looking information
can be found in Newton's disclosure documents on the SEDAR website at
www.sedar.com. Newton does not undertake to update any forward-looking
information except in accordance with applicable securities laws.


FOR FURTHER INFORMATION PLEASE CONTACT: 
Newton Energy Corporation
Merv Chia
CEO and Executive Chairman
merv.chia@newtonenergy.ca


Newton Energy Corporation
Art Bray
CFO
art.bray@newtonenergy.ca


Newton Energy Corporation
Suite 200, 638-11th Avenue SW
Calgary, Alberta T2R 0E2
1 403 410-3822
1 403 410-3854 (FAX)

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