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A pump jack draws oil from the ground.
A pump jack draws oil from the ground.
(JEFF McINTOSH FOR THE GLOBE AND MAIL)

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.