The Globe and Mail

Go to the Globe and Mail homepage

Jump to main navigationJump to main content

A pump jack draws oil from the ground.
A pump jack draws oil from the ground.

Two oil juniors take advantage of robust energy financing market

The deal flow among junior oil companies gushed on Tuesday with $380-million worth of equity financings in separate share issues by Bellatrix Exploration Ltd. and Spartan Energy Corp.

Bellatrix, known for operations in west-central Alberta, will use the proceeds from a $250-million bought deal to pay down debt and bolster capital spending, while Spartan will use most of the $130-million it is raising to buy light and medium oil properties in southeastern Saskatchewan. Bellatrix is issuing 25.6 million shares at $9.75 apiece to a syndicate led by Canaccord Genuity. Underwriters have to option of taking another $37.5-million of stock with an overallotment option.