Samson Oil & Gas Announces Equity Placement
April 16 2014 - 8:35PM
Business Wire
Samson Oil & Gas Limited (“Samson” or the “Company”)
(ASX:SSN; NYSE MKT:SSN) announced today that it has placed
65,000,000 ordinary shares to investors in Australia and 11,255,541
American Depositary Shares (ADSs) (representing 225,110,820
ordinary shares) to investors based in the United States to raise
gross proceeds of A$5,802,217 (US$5,439,578). The placement was
completed at $0.02 per ordinary share (approximately US$0.375 per
ADS), and includes options, or warrants, to purchase an additional
3 shares for each 10 shares subscribed for, at an exercise price of
A$0.033 (approximately $0.61 per ADS). The options/warrants will
expire on 30 April 2018.
Conversion from Australian Dollars to US dollars is based on an
exchange rate on 11 April 2014 of $1.00 per US$0.9375 from the
Reserve Bank of Australia.
The placement was made pursuant to Section 708 of the Australian
Corporations Act and in accordance with Listing Rule 7.1 of the ASX
Listing Rules. Carter, Terry & Company acted as financial
advisor and placement agent for the placement of Samson’s ADS in
the United States. Patersons Securities Limited acted as corporate
advisor and Lead Manager in Australia.
The net proceeds from the placement will be used towards the
planned drilling and completion of the four Three Forks wells in
our North Stockyard project (Bootleg 5-14-15, Bootleg 5-14-16,
Ironbark 5-14-13 and Ironbark 4-14-14) as well as for working
capital. As a result, together with further draw-downs on the
Company’s reserves-based credit facility from Mutual of Omaha (the
borrowing base of which is expected to be increased on account of
corresponding increases in proved reserves), the Company expects
its current exploration and development plans to be funded for the
balance of 2014 and into 2015.
Samson’s Ordinary Shares are traded on the Australian Securities
Exchange under the symbol "SSN". Samson's American Depository
Shares (ADSs) are traded on the New York Stock Exchange MKT under
the symbol "SSN". Each ADS represents 20 fully paid Ordinary Shares
of Samson. Samson has a total of 2,547 million ordinary shares
issued and outstanding (including 230 million options exercisable
at AUD 3.8 cents), which would be the equivalent of 127.35 million
ADSs. Accordingly, based on the NYSE MKT closing price of US$0.46
per ADS on March 17th, 2014 the Company has a current market
capitalization of approximately US$61.3 million (the options have
been valued at an exchange rate of 0.9054). Correspondingly, based
on the ASX closing price of A$0.026 for ordinary shares and a
closing price of A$0.013 for the 2017 options, on March 17th, 2014,
the Company has a current market capitalization of approximately
A$69.2 million.
SAMSON OIL & GAS LIMITED
TERRY BARRManaging Director
Statements made in this press release that are not historical
facts may be forward looking statements, including but not limited
to statements using words like “may”, “believe”, “expect”,
“anticipate”, “should” or “will.”
Actual results may differ materially from those projected in any
forward-looking statement. There are a number of important factors
that could cause actual results to differ materially from those
anticipated or estimated by any forward looking information,
including uncertainties inherent in estimating the methods, timing
and results of exploration activities. A description of the risks
and uncertainties that are generally attendant to Samson and its
industry, as well as other factors that could affect Samson’s
financial results, are included in the prospectus and prospectus
supplement for its recent Rights Offering as well as the Company's
report to the U.S. Securities and Exchange Commission on Form 10-K,
which are available at
www.sec.gov/edgar/searchedgar/webusers.htm.
Samson Oil & Gas LimitedTerry Barr, CEO, 303-296-3994 (US
office)US cell: 970-389-5047