Back in August (2010) KOG issued about 30 million additional shares (the original offering was for 25 million shares but was oversubscribed, if I recall correctly).
Now, less than four months later, KOG announces it will offer an additional 20 million shares with an additional 3 million if oversubscribed.
The press release has a date-time stamp of 4:34 p.m., after the market close. Prior to the close, KOG had advanced; in after-hours trading, KOG retreated, but after-hours trades are generally unreliable indicators of the next day's trades.
I have mentioned often that Bakken companies are going to need a heck of a lot of cash to execute their 2011 drilling programs. This new KOG offering, coming as it does, just months after an earlier offering, speaks volumes.
It will be interesting to see the KOG price action tomorrow. (I do not accumulate or trade in KOG).
I have most recently opined that CLR will need incredible amounts of money to finance 22 rigs next year. CLR says it will be able to finance its CAPEX program through existing operations.
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