Eco Atlantic announces private placement

/Not for dissemination in the United States or through U.S. newswires/

TORONTO, Nov. 8, 2012 /CNW/ - ECO (ATLANTIC) OIL & GAS LTD. (TSX-V: EOG, NSX: EOG.) Eco (Atlantic) Oil & Gas Ltd. ("Eco Atlantic" or the "Company") is pleased to announce that it has arranged a non-brokered private placement of CDN$3,200,000 through the issue of 8,000,000 common shares of the Company (each, a "Common Share") at a price of $0.40 per Common Share (the "Offering").

The Company has entered into agreements with certain subscribers, including Azimuth Ltd.  an exploration and production company jointly owned by Seacrest Capital Ltd. and Petroleum Geo-Services ASA ("PGS"), insiders and new investors to participate in the private placement.

CEO of Eco Atlantic, Gil Holzman, commented: "We are encouraged to have the support of existing and new shareholders in these challenging markets, and pleased that our E&P partner company, Azimuth Ltd, has decided to participate in this financing. The strengthening of our treasury allows us to further advance our work program offshore Namibia."

Closing is expected to occur on or about November 16th, 2012. In connection with the Offering, Eco Atlantic expects to pay a finder's fee consisting of cash and/or compensation warrants on terms to be agreed upon on an individual basis.

The securities issued under this private placement will be subject to a statutory four month hold period and the net proceeds will be used for working capital purposes.

Completion of the financing is subject to the receipt of all required regulatory approvals, including acceptance by the TSX Venture Exchange.

About Eco Atlantic

Eco Atlantic is an oil and gas exploration company focused on the bourgeoning energy play in Namibia. Through its wholly owned Namibian subsidiary ("Eco Namibia"), it holds five Government of the Republic of Namibia issued petroleum licenses. Offshore, Eco Atlantic holds three license blocks covering more than 25,000 square kilometers (6,177,000 acres) and onshore, Eco Atlantic holds two license blocks covering 30,000 square kilometers (7,413,000 acres).  Eco Namibia, founded in 2008, enjoys a strong local presence having a longstanding relationship with the energy and oil and gas sector in Namibia and the region. The terms and conditions of these licenses are regulated by agreements signed by Eco with the Government of the Republic of Namibia in March 2011.

About Azimuth

Azimuth Limited is a specialist E&P Company based in Hamilton, Bermuda. The business is backed by majority-owner Seacrest Capital Ltd, a Bermuda based energy investment group, and Petroleum Geo-Services ASA (PGS).

Azimuth leverages the strength of its shareholders to acquire interests in prospective acreage worldwide, developing 'drill-ready' targets through robust geophysical and commercial analysis. Funding from Seacrest fuels Azimuth's global activities and ensures that the company is ready to advance its properties without delay. A collaboration agreement with PGS gives Azimuth unparalleled insight into petroleum basins worldwide, including access to the world's largest multiclient seismic library, to leading edge geophysical expertise and to 85 subsurface specialists distributed in key locations around the world.

With four attractive assets already in hand, Azimuth Ltd is a well-funded, rapidly-growing exploration company equipped with the technical capabilities of a mid-cap E&P firm.

Forward Looking Statements

CAUTIONARY NOTE REGARDING FORWARD LOOKING STATEMENTS: Certain information in this press release constitutes forward-looking statements under applicable securities law. Any statements that are contained in this press release that are not statements of historical fact may be deemed to be forward-looking statements. Forward-looking statements are often identified by terms such as "may", "should", "anticipate", "expects" and similar expressions.  Forward-looking statements necessarily involve known and unknown risks, including, without limitation, risks associated with oil and gas production and exploration, marketing and transportation; loss of markets; volatility of commodity prices; currency and interest rate fluctuations; imprecision of reserve estimates; environmental risks; competition; inability to access sufficient capital from internal and external sources; changes in legislation, including but not limited to income tax, environmental laws and regulatory matters. Readers are cautioned that the foregoing list of factors is not exhaustive.

Although Eco Atlantic believes in light of the experience of its officers and directors, current conditions and expected future developments and other factors that have been considered appropriate that the expectations reflected in this forward-looking information are reasonable, undue reliance should not be placed on them because Eco Atlantic can give no assurance that they will prove to be correct. The forward-looking statements contained in this press release are made as of the date hereof and Eco Atlantic undertakes no obligation to update publicly or revise any forward- looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.

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 press release.

SOURCE Eco Oil & Gas (Atlantic) Ltd.

Copyright 2012 Canada NewsWire

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