CLR To Offer 11.5 Million Shares in New Offering And Raise CAPEX by $400 Million for 2011 -- Bakken, North Dakota, USA

Link here.

Currently 169.3 million shares outstanding.

The offering:

• 9.17 million new shares
• 0.83 million sold by selling sharesholders
• 1.5 million additional for over -allotment

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TOTAL: 10.67 million new shares, if I understand this correctly = 6.3% of current shares outstanding.

CLR announced today that it and certain selling shareholders intend to offer 10,000,000 shares of the Company's common stock to the public, of which 9,170,000 shares would be sold by the Company and 830,000 shares would be sold by the selling shareholders, pursuant to the Company's effective shelf registration statement.  The Company also intends to grant the underwriters a 30-day option to purchase up to an additional 1,500,000 shares of common stock to cover over-allotments, if any.  

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This is the link to the prospectus.

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On page S-4 of the summary:

"We will not receive any proceeds from the sale of shares of common stock by the selling shareholders."

If I understand that correctly, the shareholders selling 830,000 shares of common stock will keep the proceeds for themselves. Immaterial to the offering.

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CLR also announced today that the company is increasing its CAPEX from previously announced $1.36 billion to $1.75 billion.

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More comments later.