HOUSTON, Oct. 14, 2010 (GLOBE NEWSWIRE) -- Energy XXI (Nasdaq:EXXI) (LSE:EXXI) (the "Company") today announced unsolicited transactions with holders of the Company's 7.25% Convertible Perpetual Preferred Stock (the "Preferred Stock") to issue shares of the Company's common stock in exchange for 347,500 total shares of Preferred Stock. Of the total, 150,000 shares of the Preferred Stock will be converted at a fixed rate into 1,431,920 shares of common stock. Common shares to be issued in relation to the additional 197,500 shares of Preferred Stock will be based upon the stated conversion in the convertible preferred, plus a premium and accrued dividends, with the latter two based upon the daily average of the volume-weighted average price over the one trading day prior to closing. The transactions are scheduled to close Oct. 18, 2010 subject to customary conditions. Following the closing of these transactions, there will be 680,500 shares of Preferred Stock outstanding.
Forward-Looking Statements
All statements included in this release relating to future plans, projects, events or conditions and all other statements other than statements of historical fact included in this release are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements in this press release relate to, among other things, the offering of the common stock and convertible preferred stock and the expected use of proceeds from both proposed offerings. These statements are based upon current expectations and are subject to a number of risks, uncertainties and assumptions, including changes in long-term oil and gas prices or other market conditions affecting the oil and gas industry, reservoir performance, the outcome of commercial negotiations and changes in technical or operating conditions, among others, that could cause actual results, including project plans and related expenditures and resource recoveries, to differ materially from those described in the forward-looking statements. The Company assumes no obligation and expressly disclaims any duty to update the information contained herein except as required by law.
About the Company
Energy XXI is an independent oil and natural gas exploration and production company whose growth strategy emphasizes acquisitions, enhanced by its value-added organic drilling program. The company's properties are located in the U.S. Gulf of Mexico waters and the Gulf Coast onshore. Seymour Pierce is Energy XXI's listing broker in the United Kingdom. To learn more, visit the Energy XXI website at .
The Energy XXI logo is available at
CONTACT: Energy XXI Stewart Lawrence, Vice President, Investor Relations and Communications 713-351-3006 slawrence@energyxxi.com Pelham Bell Pottinger James Henderson jhenderson@pelhambellpottinger.co.uk Mark Antelme mantelme@pelhambellpottinger.co.uk +44 (0) 20 7861 3232 Seymour Pierce Nominated Adviser: Jonathan Wright Jeremy Porter Corporate Broking: Richard Redmayne +44 (0) 20 7107 8000