For Investors Only: NOG Share Offering: $20.25 -- Awesome

UPDATE, November 19, 2010: The size of the offering has been increased from the previously-announced 8,000,000 shares of common stock to 8,950,000 shares of common stock at a price to the public of $20.25 per share. Northern Oil has granted the underwriters a 30-day option to purchase up to an additional 1,342,500 shares from the Company to cover over-allotments, if any.  The offering prospectus.

ORIGINAL BLOG

Previously reported, NOG will be issuing more common stock, almost as much as 20% of their current outstanding shares. NOG made the announcement one minute after the market closed yesterday. Today, we see how the market feels about this.

I can almost guess.

Once we get through this rough patch, and I think it will be very, very rough, the good news is that NOG will be doubling their 2011 CAPEX program from that of 2010.  The only risk: "bang for your buck" as acreage becomes more dear.

Update: 10:30 EST, November 17, 2010 -- the market has now been open long enough for folks to digest the NOG news, as well as to note that oil continues to drop in price -- but NOG is holding up very, very well. Investors should not complain. Great opportunity to buy more, and long term holders should look forward to a very interesting year next year.