Saturday, August 19, 2006

Spectre Gaming, Inc. announced today that it has completed the private
placement of convertible debentures with gross proceeds of $5,171,700. The
private placement was subscribed to by institutional investors and high net
worth individuals. The debentures are convertible into common stock of the
Company at the price of $1.00 per common share. The debenture purchasers
also received 5-year warrants to purchase an aggregate of 10,343,500 shares
of common stock at a price of $1.10 per share. The Company also announced
that it has begun placing its AWP machines at customer locations. To date,
the Company has successfully installed 156 games at three locations. In
addition, the Company has acquired or has in inventory, another 975 machines
which it is currently converting to AWP for placement at customer locations.
The Company currently has a backlog of customer orders exceeding 4,000
units. D. Bradly Olah, President of Spectre Gaming stated, "We are very
pleased with the response we received during this offering. The proceeds
from the offering give us the capital we believe we will need to continue
with installations of AWP games in the Florida and Texas marketplace. To
date we have placed 156 machines and expect to continue toward our goal of
installing 2,000 units by year end. We believe that the initial response
from our customers and their patrons at installed locations has been
excellent and that we have proven the viability of our technology." The
market for AWP is legal in some form in at least 45 states with an estimated
300,000 machines already in operation nationwide.