SAN DIEGO--(BUSINESS WIRE)--Osage Exploration and Development, Inc. (OTCBB: OEDV), announced today that it has financed the drilling of its Nemaha Ridge Horizontal Mississippian project by arranging a draw down credit facility through Apollo Investment Corporation ("Apollo", NASDAQ: AINV). Osage, in conjunction with its partners, project operator Slawson Exploration and US Energy Development Corp., is preparing an aggressive drilling schedule for the balance of 2012 and 2013.
"Apollo Investment Corporation is managed by Apollo Investment Management, L.P., an affiliate of Apollo Global Management, LLC, a leading global alternative investment manager with assets under management of more than $75 billion as of December 31, 2011. We are extremely proud to have attracted the attention and support of Apollo," stated Mr. Kim Bradford, Chairman and CEO of Osage Exploration and Development. “Closing this facility for up to $10 million brings about another great day for the Osage shareholders. With the capital from the Apollo facility and the capital from a separate $2.5 million transaction announced last week, we believe that our entire Nemaha Ridge Horizontal Mississippian drilling project has been financed. Our momentum is clearly building as we continue to associate ourselves with the best in the business.”
Greg Franklin, VP of Exploration for Osage, stated, "We began studying the Horizontal Mississippian play in Oklahoma in late 2009. Since that time we have advanced a raw concept to a project, attracted great operating and financial partners, and commenced our drilling program. Given the success of our first well, the Wolf 1-29H, and the support of Apollo, we are able to continue on the path we set out upon almost three years ago, which is to drill out a Horizontal Mississippian field in Logan County, Oklahoma."
For a visual depiction of the horizontal drilling technique that will be utilized in the Nemaha Ridge project, click on the video link below:
Based in San Diego, California, with production offices in Oklahoma City, Oklahoma, and executive offices in Bogotá, Colombia, Osage Exploration and Development, Inc. is an independent exploration and production company with interests in oil and gas wells and prospects in the U.S. and Colombia. http://www.osageexploration.com
Headquartered in Wichita, Kansas, with regional offices in Denver, Houston, and Oklahoma City, Slawson began oil and gas exploration in 1957. http://www.slawsoncompanies.com/exploration.html
U.S. Energy Development Corporation was formed in 1980 as a successor to Oilmark & Company, Inc., founded in 1978. The company has consistently been ranked among the Top 50 Independent Oil & Natural Gas Drillers in the United States and is one of the largest drillers in both New York and Pennsylvania. Since 1980, U.S. Energy has acted as operator with respect to the drilling of more than 2,500 wells.
Apollo Investment Corporation (NASDAQ: AINV) is a closed-end investment company that has elected to be treated as a business development company under the Investment Company Act of 1940. The Company provides private debt market solutions to middle market companies in the form of senior secured, mezzanine and asset based loans and may also acquire equity interests. The Company seeks to provide private financing solutions for private companies that do not have access to the more traditional providers of credit. Apollo Investment Corporation is managed by Apollo Investment Management, L.P., an affiliate of Apollo Global Management, LLC, a leading global alternative investment manager with assets under management of more than $75 billion as of December 31, 2011. Within the energy space, AIC is focused on $20 million to $200 million investments in oil and gas producers, oilfield service providers, midstream and alternative energy companies. For more information, please visit http://www.apolloic.com.
Safe Harbor Statement
The information in this release includes certain forward-looking statements as defined by the Securities and Exchange Commission that are based on assumptions that in the future may prove not to have been accurate. Those statements and Osage Exploration and Development, Inc. are subject to a number of risks, including production variances from expectations, volatility of product prices, inability to raise sufficient capital to fund its operations, environmental risks, competition, government regulation, and the ability of the Company to execute its business strategy, among others.