OKLAHOMA
CITY, April 4, 2024 /PRNewswire/ -- Riley
Exploration Permian, Inc. (NYSE American: REPX) ("Riley
Permian" or the "Company") announced today the pricing of its
previously announced underwritten public offering of 2,100,000
shares of its common stock at a price to the public of $27.00 per share (the "Offering"), which includes
700,000 shares being offered by the Company and 1,400,000 shares
being offered by certain of the Company's stockholders (the
"Selling Stockholders"). The Company has granted the underwriters a
30-day option to purchase up to an additional 315,000 shares of
common stock. The Offering is expected to close on or about
April 8, 2024, subject to customary
closing conditions.
Gross proceeds to the Company from the Offering are expected to
be approximately $18.9 million,
before deducting underwriting discounts and commissions and
estimated offering expenses payable by the Company. The Company
intends to use the net proceeds from the Offering for general
corporate purposes, which may include financing acquisitions
(including a pending acquisition of an approximate 12,500 net acre
position in Eddy County, New
Mexico for 100% cash consideration, which the Company
anticipates funding primarily with proceeds from the Offering with
any remaining balance funded through borrowings under the Company's
revolving credit facility and expects will close in May 2024), repayment of outstanding debt,
financing of capital expenditures, financing other investments or
business opportunities, and general working capital purposes. The
Company will not receive any proceeds from any sale of shares by
the Selling Stockholders. The Company will, however, bear the costs
other than the underwriting discount and commissions associated
with the sale of common stock by the Selling Stockholders.
Truist Securities, Inc. and Roth Capital Partners are acting as
joint book-running managers for the Offering. Janney Montgomery
Scott LLC and Tuohy Brothers Investment Research, Inc. are acting
as co-managers for the Offering.
The shares are being offered pursuant to a shelf registration
statement on Form S-3 filed with the U.S. Securities and Exchange
Commission (the "SEC") on April 7,
2021, as amended, and declared effective by the SEC on
May 12, 2021. The Offering is being
made only by means of a prospectus supplement and the accompanying
base prospectus. Copies of the preliminary prospectus supplement
and accompanying base prospectus relating to the Offering, as well
as copies of the final prospectus supplement, once available, may
be obtained on the SEC's website at www.sec.gov or by
contacting Truist Securities, Inc., Attention: Prospectus
Department, 3333 Peachtree Road NE, 9th floor, Atlanta, Georgia 30326, by telephone at (800)
685-4786, or by email at TruistSecurities.prospectus@Truist.com, or
Roth Capital Partners, LLC, 888 San Clemente, Newport Beach, CA 92660, Attention: Prospectus
Department, by telephone at (800) 678-9147, or by email at
rothecm@roth.com.
This press release does not constitute an offer to sell, a
solicitation to buy or an offer to purchase or sell any securities,
nor shall there be any sale of these securities in any state or
jurisdiction in which such offer, solicitation or sale would be
unlawful prior to registration or qualification under the
securities laws of any such state or jurisdiction.
About Riley Exploration Permian, Inc.
Riley Permian is
a growth-oriented, independent oil and natural gas company focused
on the acquisition, exploration, development and production of oil,
natural gas, and natural gas liquids. For more information please
visit www.rileypermian.com.
CAUTIONARY STATEMENT FOR THE PURPOSES OF THE "SAFE HARBOR"
PROVISIONS OF THE PRIVATE SECURITIES LITIGATION REFORM ACT OF
1995
This press release contains forward-looking statements within
the meaning of Section 27A of the Securities Act and Section 21E of
the Securities Exchange Act of 1934, as amended. The statements
contained in this prospectus supplement that are not historical
facts are forward-looking statements that represent management's
beliefs and assumptions based on currently available information.
Forward-looking statements include information concerning the
timing and completion of the Offering and anticipated use of the
net proceeds from the Offering, the Company's possible or assumed
future results of operations, business strategies, need for
financing, competitive position and potential growth opportunities.
The Company's forward-looking statements do not consider the
effects of future legislation or regulations. Forward-looking
statements include all statements that are not historical facts and
can be identified by the use of forward-looking terminology such as
the words "believes," "intends," "may," "should," "anticipates,"
"expects," "could," "plans," "estimates," "projects," "targets" or
comparable terminology or by discussions of strategy or trends.
Although the Company believes that the expectations reflected in
such forward-looking statements are reasonable, it cannot give any
assurances that these expectations will prove to be correct.
These forward-looking statements involve significant risks and
uncertainties that could cause actual results to differ materially
from those anticipated, including, but not limited to, volatility
of oil, natural gas and natural gas liquid prices; regional supply
and demand factors, any delays, curtailment delays or interruptions
of production, and any governmental order, rule or regulation that
may impose production limits; cost and availability of gathering,
pipeline, refining, transportation and other midstream and
downstream activities; severe weather and other risks that lead to
a lack of any available markets; the ability to successfully
complete mergers, acquisitions and divestitures; the inability or
failure of the Company to successfully integrate the acquired
assets into its operations and development activities; the
potential delays in the development, construction or start-up of
planned projects; the risk that the Company's enhanced oil recovery
project may not perform as expected or produce the anticipated
benefits; risks relating to the Company's operations, including
development drilling and testing results and performance of
acquired properties and newly drilled wells; any reduction in the
Company's borrowing base on its revolving credit facility from time
to time and the ability to repay any excess borrowings as a result
of such reduction; the impact of the Company's derivative strategy
and the results of future settlement; the ability to comply with
the financial covenants contained in its credit agreement;
conditions in the capital, financial and credit markets and the
ability to obtain capital needed for development and exploration
operations on favorable terms or at all; the loss of certain tax
deductions; risks associated with executing the Company's business
strategy, including any changes in strategy; inability to prove up
undeveloped acreage and maintain production on leases; risks
associated with concentration of operations in one major geographic
area; legislative or regulatory changes, including initiatives
related to hydraulic fracturing, emissions, and disposal of
produced water, which may be negatively impacted by regulation or
legislation; the ability to receive drilling and other permits or
approvals and rights-of-way in a timely manner (or at all), which
may be restricted by governmental regulation and legislation;
restrictions on the use of water, including limits on the use of
produced water and a moratorium on new produced water well permits
recently imposed by the Railroad Commission of Texas in an effort to control induced
seismicity in the Permian Basin; changes in government
environmental policies and other environmental risks; the
availability of drilling equipment and the timing of production;
tax consequences of business transactions; public health crisis,
such as pandemics and epidemics, and any related government
policies and actions and the effects of such public health crises
on the oil and natural gas industry, pricing and demand for oil and
natural gas and supply chain logistics; general domestic and
international economic, market and political conditions, including
the military conflict between Russia and Ukraine, the Israel-Hamas conflict and the
global response to such conflicts; risks related to litigation; and
cybersecurity threats, technology system failures and data security
issues.
Additional factors that could cause results to differ materially
from those described above can be found in the preliminary
prospectus supplement and base prospectus related to the Offering,
Riley Permian's Annual Report on Form 10-K for the year ended
December 31, 2023, and in other
filings made with the SEC from time to time. Copies of Riley
Permian's Annual Reports on Form 10-K, Quarterly Reports on Form
10-Q and other SEC filings are available on the SEC's website,
www.sec.gov, and on the Company's website
at www.rileypermian.com under the "Investor" tab.
The forward-looking statements in this press release are made as
of the date hereof and are based on information available at this
time. The Company does not undertake, and expressly disclaims, any
duty to update or revise our forward-looking statements based on
new information, future events or otherwise, except as required by
law.
Investor Contact:
Rick D'Angelo
405-438-0126
IR@rileypermian.com
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SOURCE Riley Exploration Permian, Inc.
