Crude oil and natural gas company Dejour Enterprises Ltd. has signed a binding commitment letter securing a $5 million line of credit from an Alberta-based mezzanine lender.

The first $2 million will be available upon closing and used to refinance Dejour’s existing bank facility and fund its working capital. The remainder will be accessible, subject to additional lender review and approval by the Dejour board, to finance project expansions currently being considered by Dejour at its Drake/Woodrush facility.

"This interim financing provides Dejour with an important, non-dilutive credit facility that allows for the seamless transition of its future requirements to a senior conventional lender, once the 2010 production enhancements at Woodrush have been successfully concluded", commented Hal Blacker, Dejour’s president and COO.

Dejour Enterprises Ltd. operates multiple exploration and production projects in North America’s Piceance / Uinta Basin (127,000 net acres) and Peace River Arch regions (18,000 net acres).