Double Eagle Completes $1.1 Million Stock Placement Through Wasserstein Perella Securities, Inc.
CASPER, Wyo., Oct. 8 /PRNewswire/ -- Double Eagle Petroleum & Mining Co. (Nasdaq: DBLE, DBLEW) announced today it has completed a private stock placement in the aggregate amount of $1.1 million.
A total of 200,000 shares of the Company's common stock were sold at $2.75 per share to Wasserstein Perella Securities, Inc. in concert with the sale of an additional 200,000 shares to three other investors. The $1.1 million raised will be used primarily for development costs associated with wells the Company is drilling located in the Wind River and Green River Basins of Wyoming (See Prospect Update September 16, 1999). Concurrently, Wasserstein Perella Securities, Inc. has become a market maker for the Company's stock.
Stephen H. Hollis, President and CEO of Double Eagle commented, "The completion of this transaction allows the Company to finance all its anticipated development well costs for the next 12 months without incurring costly debt. Upon completion of these development wells, the Company anticipates that it will be in a strong position of increased reserves with a conservative level of long term debt." Mr. Hollis continued, "Management is very pleased with this new association. Wasserstein Perella Securities, Inc. is a leading investment firm which conducts billions of dollars annually in merger and acquisition transactions. Within the past year, Wasserstein Perella Securities, Inc. has represented such corporate clients as Georgia Pacific Corp., Aetna, Primestar and Wal-Mart. This association achieves a milestone for the Company's goal of broadening the shareholder base to create greater value for the shareholders."
This press release may contain projections and other forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. Any such projections or statements reflect the Company's current views with respect to future events and financial performance. No assurances can be given, however, that these events will occur or that such projections will be achieved and actual results could differ materially from those projected. A discussion of important factors that could cause actual results to differ materially from those projected, such as decreases in oil and gas prices and/or unexpected decreases in oil and gas production, is included in the Company's periodic reports filed with the Securities and Exchange Commission.
Founded in 1972, Double Eagle Petroleum and Mining Co. explores for, develops, and sells crude oil and natural gas. The Company's current areas of exploration and development include the Moxa Arch, Powder River Basin, Washakie Basin, and Wind River Basin in Wyoming.
SOURCE Double Eagle Petroleum & Mining Co.
/CONTACT: Steve Hollis, President of Double Eagle Petroleum & Mining Co.,
307-237-9330; or Phil Huss of Phoenix Alliance, Inc., 970-259-7241, Investor
Relations for Double Eagle Petroleum & Mining Co./
(DBLE DBLEW)
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