On April 23, 2008, Gastem announced that it had closed a private placement on a bought deal basis, led by Fraser Mackenzie Limited and including Wellington West Capital Markets Inc., National Bank Financial Inc. and Research Capital Corporation, for 4,725,000 units at a price of $2.15 per unit for gross proceeds of up to $10,158,750. Each unit consists of one common share of Gastem and one-half of one share purchase warrant, with each whole warrant entitling the holder to purchase one common share of Gastem at a price of $3.00 per share for a period of eighteen months from the date of closing. The private placement financing includes a 1,000,000 unit "greenshoe" option exercised by the underwriters at the same conditions. Gastem will use the proceeds of the offering to fund the ongoing exploration and development of its Quebec and New York gas assets, including the Yamaska Shale Gas Project and the Utica Shale Project in New York State, and for general corporate purposes. Gastem is an independent oil and gas exploration company based in Montréal. The company holds exploration and storage rights to over 1.1 million acres of land in the St. Lawrence Lowlands and the Gaspe Peninsula in Quebec. The company has also an option to acquire a 65% interest in properties situated in New York State and has revenues from a minority participation in the Amber Bank shale gas project in West Virginia. Gastem was advised by a team from Fasken Martineau led by Rubin Rapuch and including Peter Villani and Nicolas Morin.