OKLAHOMA CITY, July 17, 2008 (PRIME NEWSWIRE) -- GMX Resources Inc.
(Nasdaq:GMXR) today announced that it has priced a public offering of 2 million
shares of its common stock at $70.50 per share and expects the issuance and
delivery of the shares to occur on July 22, 2008, subject to customary closing
conditions. The Company has also granted the underwriters a 30-day option to
purchase a maximum of 300,000 additional shares of its common stock. The Company
intends to use a substantial portion of the net proceeds from the offering to
temporarily repay outstanding indebtedness under its revolving bank credit
facility. The balance of the net proceeds will be used to fund the development
of oil and natural gas properties, acquisitions of additional properties and for
general corporate purposes. The Company also anticipates reborrowing under its
revolving bank credit facility from time to time for the same purposes.
Jefferies & Company, Inc. is acting as sole book-running manager for the
offering. The offering is being made only by means of a prospectus and related
prospectus supplement, copies of which may be obtained by mail from Jefferies &
Company, Inc., Equity Capital Markets, 520 Madison Avenue, New York, New York
10022 or by telephone request to 888-449-2342 or 212-284-2342. An electronic
copy of the prospectus and prospectus supplement will be available on the
website of the Securities and Exchange Commission at www.sec.gov.
This press release shall not constitute an offer to sell or the solicitation of
an offer to buy nor shall there be any sale of these securities in any
jurisdiction in which such offer, solicitation or sale would be unlawful. Any
offer will be made only by means of a prospectus, including a prospectus
supplement, forming a part of an effective registration statement.
The GMX Resources Inc. logo is available at
http://www.primenewswire.com/newsroom/prs/?pkgid=5158
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CONTACT: GMX Resources Inc.
Ken L. Kenworthy, Jr., President, CEO
405.600.0711 x311
James Merrill, CFO
405.600.0711 x305
Michael Rohleder, Exec. VP, Corporate Development
405.600.0711 x338
