Approach Resources Announces Public Offering of 5M Shares

Approach Resources (NASDAQ: AREX) today announced that it intends, subject to market conditions, to offer 5,000,000 shares of its common stock in an underwritten public offering. The offering is being made pursuant to an effective shelf registration statement filed with the U.S. Securities and Exchange Commission (“SEC”). The Company expects to grant the underwriters a 30-day option to purchase up to an additional 750,000 shares of its common stock to cover over-allotments, if any.

The Company intends to use the net proceeds from the offering primarily to fund its capital expenditures for the development of its Wolfcamp oil shale resource play and for general working capital needs. Pending these uses, the Company intends to repay outstanding borrowings under its revolving credit facility.

J.P. Morgan is acting as sole book-running manager for the offering and KeyBanc Capital Markets, RBC Capital Markets, Wells Fargo Securities, Scotiabank / Howard Weil and Wunderlich Securities are acting as co-managers. The offering may be made only by means of a prospectus and related prospectus supplement meeting the requirements of Section 10 of the Securities Act of 1933, as amended. Copies of the preliminary prospectus supplement and the accompanying prospectus meeting such requirements and relating to the offering may be obtained from J.P. Morgan Securities LLC, via Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, New York 11717, (866) 803-9204. An electronic copy of the prospectus and related prospectus supplement describing the terms of the offering will be filed with the SEC and available on its website at

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