(Source: PrimeNewswire)
STATE COLLEGE, Pa., Sept. 21, 2009 (GLOBE NEWSWIRE) -- Rex Energy Corporation ("Rex Energy") (Nasdaq:REXX) announced today that its bank group has unanimously reaffirmed the $80 million borrowing base under its revolving credit facility as part of the regularly scheduled semi-annual borrowing base redetermination. No amendments were made to the terms of the revolving credit facility in connection with the borrowing base redetermination. As of September 21, 2009, the company had $15 million outstanding under the credit facility, which will mature September 28, 2012.
Under the terms of the revolving credit facility, the borrowing base is redetermined by the bank group semi-annually utilizing the banks' estimates of reserves and future oil and gas prices. The bank group is comprised of KeyBank which leads the facility; Allied Irish Banks, P.L.C.; BNP Paribas; Capital One, N.A.; and M&T Bank. The next redetermination of the borrowing base is scheduled for April 2010.
Concerning its Marcellus Shale drilling operations, Rex Energy has retained Union Drilling, Inc. to operate a second rig in its Marcellus Shale horizontal well drilling projects. The rig is expected to arrive on location in late September 2009 to drill Rex Energy's first horizontal well in central Pennsylvania. Thereafter, the rig is scheduled to be moved to Butler County, Pennsylvania where it will remain to complete the company's 2009 and 2010 drilling programs in the Butler County project area.
About Rex Energy Corporation
Rex Energy Corporation is an independent oil and gas company operating in the Illinois Basin and the Appalachian Basin of the United States. The company has pursued a balanced growth strategy of exploiting its sizable inventory of lower risk developmental drilling locations, pursuing its higher potential exploration drilling prospects and actively seeking to acquire complementary oil and natural gas properties. For more information about the company, please visit www.rexenergy.com. Please note that the company routinely posts important information about the company under the investor relations section of its web site.
The Rex Energy logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=5489
Forward-Looking Statements
Except for historical information, statements made in this release, including those relating to significant potential, future earnings, cash flow, capital expenditures, production growth and planned number of wells, are 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.
