Arena Resources (AMEX: ARD, ARD.WS) has received $5,047,470 from the exercise of 1,009,494 warrants that the company recently called for redemption. The warrants were originally issued in connection with a private placement of common stock completed in June 2003. Each warrant holder electing to exercise their warrants prior to redemption was entitled to receive one share of the company's restricted common stock for each warrant held, at an exercise price of $5.00 per share. After the exercise of the warrants, the company has 10,188,204 common shares issued and outstanding.
The proceeds will be applied toward the company's 2005 developmental drilling program, retirement of long-term debt and general working capital.