Samson Oil & Gas Announces $1.4 Million Placement
April 12 2016 - 8:06PM
Business Wire
Samson Oil and Gas Limited has agreed to place 1,890,102 million
ADSs, representing 378,020,400 ordinary shares in a Registered
Direct Offering to several institutional investors in the United
States at US$0.74 per ADS (A$0.00485 per ordinary share) for gross
proceeds of $1.4 million. The offering is expected to close and the
shares issued today, April 13th.
After payment of offering expenses, the funds will be used to
initiate the previously announced development program in the newly
acquired Foreman Butte project. This program will consist of
bringing back wells on line that are currently shut in for
mechanical reasons. The development program will also include the
application of acid stimulation workovers. The program is being
developed by a leading oil service provider on our behalf and the
early simulation modelling of the three leading candidates has been
very encouraging. The analytical work is continuing and is now
examining the top 18 well candidates to ensure that the most
promising candidates are selected for the initial program.
The placement was made pursuant to section 708 of the Australian
Corporations Act and in accordance with the listing rule 7.1 of the
ASX Listing Rules.
Euro Pacific Capital Inc. acted as the lead broker to the issue
and will be paid a 6% fee on the transaction.
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 200 fully paid Ordinary
Shares of Samson. Samson has a total of 2,837 million ordinary
shares issued and outstanding (including 230 million options
exercisable at AUD 3.8 cents), which would be the equivalent of
14.185 million ADSs. Accordingly, based on the NYSE MKT closing
price of US$0.95 per ADS on April 12th, 2016, the Company has a
current market capitalization of approximately US$13.6 million (the
options have been valued at an exchange rate of 0.7625).
Correspondingly, based on the ASX closing price of A$0.005 for
ordinary shares and a closing price of A$0.001 for the 2017
options, on April 12th, 2016, the Company has a current market
capitalization of approximately A$14.4 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.
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Samson Oil and Gas LimitedTerry Barr, CEO, 303-296-3994 (US
office)