Resaca Exploitation Inc Corporate Update (7218A)

TIDMRSOX

RNS Number : 7218A

Resaca Exploitation Inc

25 March 2013

 
 FOR IMMEDIATE RELEASE   25 MARCH 2013 
 

Resaca Exploitation, Inc.

("Resaca" or "the Company")

Corporate Update

Resaca (AIM:RSOX), the oil and natural gas production, exploitation, and development company focused on the Permian Basin in the USA, announces an update on certain corporate matters.

Further to the announcement on 7 March 2013, Resaca has been informed that ERG Resources, L.L.C. ("ERG") has withdrawn its offer for the purchase of the Company's ownership interests in the Cooper Jal Unit, Langlie Jal Unit, Jordan San Andres Unit, Edwards Grayburg Unit; the Kermit, McElroy and Kayser properties; and the Odessa office complex. The Company has notified its senior and subordinated lenders of the withdrawal by ERG and continues to have discussions concerning a path forward for reducing indebtedness. The Company has not received any notice of any enforcement action from its lenders at this time. The Company is pursuing other options with respect to disposing of assets and will provide a further update when more information is available.

For further information please contact:

 
 Resaca Exploitation, Inc. 
 J.P. Bryan, Chairman and Chief Executive 
  Officer                                             [phone] 
 John J. ("Jay") Lendrum, III, Vice Chairman          [phone] 
 Dennis Hammond, President and Chief 
  Operating Officer                                   [phone] 
 David Love, Vice President and Treasurer             [phone] 
 
 Buchanan (Investor Relations)                    [phone] 
 Tim Thompson 
  Ben Romney 
 
 finnCap Limited (Nomad and Broker)             + 44 (0) 20 7220 0500 
 Matt Goode, Corporate Finance 
  Christopher Raggett, Corporate Finance 
  Victoria Bates, Corporate Broking 
 

About Resaca

Resaca is an independent oil and gas development and production company based in Houston, Texas. Resaca is focused on the acquisition and exploitation of long-life oil and gas properties, utilizing a variety of primary, secondary and tertiary recovery techniques. Resaca's current properties are located in the Permian Basin of West Texas and Southeast New Mexico. Additional information is available at www.resacaexploitation.com.

In accordance with the AIM Rules, the information in this announcement has been reviewed and approved by Dennis Hammond, President. Mr. Hammond has a Bachelor of Science degree in Petroleum Engineering, is a registered professional engineer in the State of Texas, and has over 30 years relevant experience within the sector.

This information is provided by RNS

The company news service from the London Stock Exchange

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