Adelaide, Aug 17, 2006 AEST (ABN Newswire) - Sundance Energy Australia Limited (the "Company") is pleased to advise that its wholly owned subsidiary, Sundance Energy, Inc. ("Sundance") has successfully concluded a US$50MM Credit Agreement (the "Facility") with Macquarie Bank Limited.
The Facility is guaranteed by the Company, and will be drawn down in multiple tranches with the first tranche being immediately available to Sundance. The financing arrangement includes the grant of options to Macquarie to acquire ordinary shares of the Company which will be issued in tranches as well. Those options are priced at AU$0.38 which represents a 43.4% premium to the Company's closing share price yesterday and a 90% premium to the Company's share price at its initial public offering in April, 2005.
The Facility proceeds will initially be exclusively used to fund Sundance's accelerated drilling programs in the Arkoma and Williston Basins in the United States. Funding availability also exists for other corporate oil and gas development and acquisition activities. This will allow the Company to continue to add shareholder value both through the continuing development of its current mineral assets, as well as the identification and acquisition of new opportunities.
Contact
Kevin Skinner
Senior Consultant
FIELD PUBLIC RELATIONS
231 South Road
MILE END SA 5031
Tel: (08) 8234 9555
Fax: (08) 8234 9566
Mob: 0414 822 631
kevin@fieldpr.com.au
| ||
|
