Rex Energy Provides First Quarter 2015 Production & Update on Asset Strategy
April 20 2015 - 7:00AM
- First quarter 2015 production of 196.0
MMcfe/d
- Monetization of water service subsidiary expected to
close by end of second quarter 2015
- Pursuing monetization or joint venture structure on
operated Illinois Basin assets
Rex Energy Corporation (Nasdaq:REXX) announced first quarter 2015
production and provided an update on its asset strategy.
First Quarter 2015 Production Results
First quarter 2015 production volumes were 196.0 MMcfe/d, an
increase of 60% over the first quarter of 2014, consisting of 128.5
MMcf/d of natural gas and 11.3 Mboe/d of oil and NGLs (including
2.1 Mboe/d of ethane). Oil and NGLs (including ethane) accounted
for 34% of net production during the first quarter. In addition,
net production from the company's operated Illinois Basin asset was
1,873 bbls/d.
Asset Strategy Update
As previously announced, Rex Energy is pursuing the monetization
of its 60% ownership interest in Keystone Clearwater Solutions, the
company's water service subsidiary. The sale process is on track as
expected and the company is encouraged by the interest that has
been expressed in Keystone Clearwater Solutions.
In addition, the company has engaged Evercore Group L.L.C. as a
financial advisor to pursue the potential monetization or joint
venture of its operated assets in the Illinois Basin. All of the
assets and associated facilities are located in Illinois, Indiana
and Kentucky. The proceeds of these transactions would further
enhance the company's liquidity position and improve flexibility in
the company's 2015 and 2016 development program.
About Rex Energy Corporation
Rex Energy is headquartered in State College, Pennsylvania and
is an independent oil and gas exploration and production company
operating in the Appalachian and Illinois Basins within the United
States. The company's strategy is to pursue its higher return
exploration drilling prospects while acquiring oil and gas
properties complementary to its portfolio.
Forward-Looking Statements
This press release includes "forward-looking statements" within
the meaning of federal securities laws. All statements, other than
statements of historical facts, included in this release that
address activities, event, developments, forecasts, or guidance
that Rex Energy expects, believes or anticipates will or may occur
in the future are forward-looking statements. Forward-looking
statements rely on a number of assumptions concerning future events
and are subject to a number of uncertainties, factors and risks,
many of which are outside Rex Energy's ability to control or
predict, that could cause results to differ materially from
management's current expectations. These risks and uncertainties
include, but are not limited to, economic and market conditions,
operational considerations, the timing and success of our
exploration and development efforts and other uncertainties.
Additional information concerning these and other factors can be
found in our press releases and public periodic filings with the
Securities and Exchange Commission, including our Annual Report on
Form 10-K for the year ended December 31, 2014, and we strongly
encourage you to review those documents to understand these risks.
You should not place undue reliance on forward-looking statements
because they reflect management's views only as of the date of this
release. We undertake no obligation to revise or update any
forward-looking statements, or to make any other forward-looking
statements, whether as a result of new information, future events
or otherwise.
CONTACT: Investor Relations
(814) 278-7130
InvestorRelations@rexenergycorp.com