Following the closing of the North Stockyard sale, Samson’s outstanding
debt has been reduced to $19 million and Mutual of Omaha Bank has
increased the company’s borrowing base to $20 million. Samson presently
expects the Bank to further increase its borrowing base in the first
quarter of 2017 as part of a new syndicated loan involving another bank.
The scope of the expanded debt facility will depend on the value of
Samson’s Proved Reserves as at November 30th, which in turn
will depend on commodity pricing and well performance.
The closing of the North Stockyard sale and paydown of the debt was a
condition of the loan facility amendment that financed the acquisition
of the Forman Butte project. That amendment also required Samson to
raise a total of $5 million in equity. The Bank has now agreed that this
condition has been met. Accordingly, Samson does not intend to raise
additional equity capital at this time.
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 3,215 million ordinary shares issued and
outstanding (including 230 million options exercisable at AUD 3.8
cents), which would be the equivalent of 16.08 million ADSs.
Accordingly, based on the NYSE MKT closing price of US$0.765 per ADS on
September 9th, 2016, the Company has a current market
capitalization of approximately US$12.3 million (the options have been
valued at an exchange rate of 0.7652). 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 September 9th, 2016, the
Company has a current market capitalization of approximately A$16.1
SAMSON OIL & GAS LIMITED
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.
View source version on businesswire.com: http://www.businesswire.com/news/home/20161110006717/en/
Copyright Business Wire 2016
Source: Business Wire
(November 10, 2016 - 10:00 PM EST)
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