Empire Petroleum Announces Commencement of Previously Announced Rights Offering
October 01 2024 - 8:05AM
Business Wire
Empire Petroleum Corporation (NYSE American: EP) ("Empire" or
the "Company"), an oil and gas company with current producing
assets in New Mexico, North Dakota, Montana, Texas, and Louisiana,
announced today that it has commenced its previously announced
subscription rights offering (“Rights Offering”) pursuant to which
it intends to raise gross proceeds of up to approximately $10.0
million. The Company is distributing at no charge to holders of its
common stock, par value $0.001 per share (“Common Stock”), as of
the close of business on September 30, 2024 (the record date for
the Rights Offering), one subscription right for each share of
Common Stock held. Each subscription right entitles the holder to
purchase 0.063 shares of Common Stock at a subscription price of
$5.05 per share per one whole share of Common Stock. As a result, a
stockholder must hold at least 16 shares of Common Stock to receive
subscription rights to purchase at least one share of Common Stock.
The subscription rights are non-transferable, and will not be
listed for trading on any stock exchange or market. In addition,
holders of subscription rights who fully exercise their
subscription rights are entitled to over-subscribe for additional
shares of Common Stock, subject to proration.
The Rights Offering is expected to expire at 5:00 p.m., Eastern
Time, on October 16, 2024 (“Expiration Date”), subject to extension
or earlier termination.
Phil E. Mulacek, Chairman of the Board of Empire, and Energy
Evolution Fund, Ltd., our largest shareholders, have indicated that
they intend to participate in the Rights Offering and fully
subscribe to the shares of Common Stock corresponding to their
subscription rights. They have each also indicated that they intend
to fully exercise their over-subscription rights to purchase their
pro rata share of the underlying securities related to the Rights
Offering that remain unsubscribed at the Expiration Date.
Holders of subscription rights who hold their shares directly
will receive a prospectus, a prospectus supplement, a letter from
Empire describing the Rights Offering, and a subscription rights
certificate. Those holders who intend to exercise their
subscription rights and over-subscription rights should review all
of these materials, properly complete and execute the subscription
rights certificates, and deliver the subscription rights
certificates and full payment to Securities Transfer Corporation,
the subscription agent for the Rights Offering, at the address set
forth in the prospectus supplement.
The Rights Offering is more fully described in the prospectus
supplement filed with the Securities and Exchange Commission
(“SEC”) on October 1, 2024. A copy of the prospectus, prospectus
supplement or further information with respect to the Rights
Offering may be obtained by contacting Securities Transfer
Corporation, the subscription and information agent for the Rights
Offering, at (469) 633-0101.
This news release shall not constitute an offer to sell or
the solicitation of an offer to buy any securities, nor shall there
be any offer, solicitation or sale of securities in any state in
which such offer, solicitation or sale would be unlawful prior to
registration or qualification under the securities laws of any such
state.
About Empire Petroleum
Empire Petroleum Corporation is a publicly traded, Tulsa-based
oil and gas company with current producing assets in New Mexico,
North Dakota, Montana, Texas, and Louisiana. Management is focused
on organic growth and targeted acquisitions of proved developed
assets with synergies with its existing portfolio of wells. More
information about Empire can be found at
www.empirepetroleumcorp.com.
Safe Harbor Statement
This release contains forward-looking statements within the
meaning of Section 27A of the Securities Act of 1933 and Section
21E of the Securities Exchange Act of 1934. Forward-looking
statements involve a wide variety of risks and uncertainties, and
include, without limitations, statements with respect to the
Company’s estimates, strategy and prospects. Such statements are
subject to certain risks and uncertainties which are disclosed in
the Company’s reports filed with the SEC, including its Form 10-K
for the fiscal year ended December 31, 2023, and its other filings
with the SEC. Readers and investors are cautioned that the
Company’s actual results may differ materially from those described
in the forward-looking statements due to a number of factors,
including, but not limited to, the Company’s ability to acquire
productive oil and/or gas properties or to successfully drill and
complete oil and/or gas wells on such properties, general economic
conditions both domestically and abroad, and other risks and
uncertainties related to the conduct of business by the Company.
Other than as required by applicable securities laws, the Company
does not assume a duty to update these forward-looking statements,
whether as a result of new information, subsequent events or
circumstances, changes in expectations, or otherwise.
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version on businesswire.com: https://www.businesswire.com/news/home/20240930429943/en/
Empire Petroleum Corporation: Mike Morrisett President and CEO
539-444-8002 info@empirepetrocorp.com Kali Carter Communications
& Investor Relations Manager 918-995-5046
IR@empirepetrocorp.com
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