HOUSTON, TX -- (Marketwire) -- 07/07/10 -- AsherXino Corporation (OTCBB: AXNO), an international oil and gas exploration and production company focused on prospects in the Gulf of Guinea, today announced it has entered into an agreement for an Equity Line Facility (ELF) with Dutchess Opportunity Fund II, LP.
Under the agreement, Dutchess will provide the Company an equity line for USD $35.0 million. The facility will allow the Company to continue its rapid development. Importantly, the facility allows the Company flexibility to draw only as needed. The Company will control the timing and maximum amount of any draw downs under the facility, and has the right, not the obligation, to draw down on available funds. In addition, the Company has the option to draw down funds in tranches by requiring Dutchess to subscribe for the Company's common shares at a 5 percent discount to the lowest daily volume weighted average price of the Company's common shares over a 5 day trading period following the draw down notice date.
'This new equity line will give us flexible access to capital to support our growth initiatives,' said Michael C. Hinton, President of AsherXino. 'By demonstrating access to capital and the sequential improvement of our financial performance, we are sending a clear and positive message to our partners, shareholders and financial stakeholders.'
About AsherXino Corporation
AsherXino Corporation (OTCBB: AXNO) is an international oil and gas exploration and production company focused on Africa. The Company is led by a seasoned management and technical team with extensive international and West Africa experience, and a proven record of finding and developing significant oil reserves. The company has agreements to operate an oil and gas concession in the Gulf of Guinea -- Nigeria. More information at http://www.asherxino.com
About Dutchess Capital
Dutchess Capital is an investment manager which provides financing for promising, growth-stage companies. Founded in 2000, funds managed by Dutchess have made over $200 million in direct investments in companies throughout North America, Europe and Asia. Dutchess has been a global leader in Equity Line Facility ('ELF') investments and has transacted in excess of $1.6 billion in such financings. The ELF is a flexible financing structure by which publicly traded companies can raise capital quickly, efficiently and with less dilution than most traditional offerings. More information at http://www.dutchessopportunity.com/ and http://www.dutchesscapital.com/
Michael C. Hinton