Osage Exploration and Development, Inc.
, 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
). Osage, in conjunction with its partners, project operator
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: