Rex Energy Announces Closing of Illinois Basin Asset Sale
August 22 2016 - 4:01PM
Rex Energy Corporation (Nasdaq:REXX) (“Rex Energy”) announced today
that it has closed on the previously announced sale of its Illinois
Basin assets to Campbell Development Group, LLC. The sale of the
Illinois Basin assets includes approximately 76,000 net acres in
Illinois, Indiana and Kentucky; the assets are currently producing
approximately 1,700 net barrels per day. Rex Energy is selling its
entire interest in the basin and has received net proceeds from the
sale of approximately $40 million with the potential for additional
proceeds of up to $10 million over the next three years based on
commodity prices during that time frame. The proceeds will be used
to pay down the revolving line of credit and for general corporate
purposes.
About Rex Energy Corporation
Headquartered in State College, Pennsylvania, Rex
Energy is an independent oil and gas exploration and production
company with its core operations in the Appalachian Basin. The
company’s strategy is to pursue its higher potential exploration
drilling prospects while acquiring oil and natural 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, events, 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, including those
relating to the joint development agreement described in this
release, 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, 2015, 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.
For more information contact:
Investor Relations
(814) 278-7130
InvestorRelations@rexenergycorp.com