CLG Energy Finance, LLC Announces $30M Add-On Funding to Subsidiary of GeoSouthern Energy Corporation

PLANO, Texas, Nov. 29, 2010 /PRNewswire/ -- CLG Energy Finance, LLC, an innovative direct loan originator that focuses on financing opportunities in the energy industry, announces $30 million in add-on funding for Houston-based GeoSouthern DeWitt Properties LLC, a wholly owned subsidiary of GeoSouthern Energy Corporation, on November 15, 2010.

Proceeds will be used by GeoSouthern to fund continued development drilling efforts in the Eagle Ford Shale alongside its working interest partner, Petrohawk Energy Corporation (NYSE: HK).  The overall credit facility, including this $30 million funding and the initial $28.5 million closed on June 29, 2010, may eventually be increased up to a total of $125.0 million upon request by GeoSouthern and subject to lender approval.

CLG Energy Finance, LLC is a division of CLG Hedge Fund, LLC, an affiliate of Beal Bank Nevada, a multi-billion dollar private financial institution. CLG Energy seeks to facilitate direct lending in energy and energy-related companies, with particular emphasis on debt financing in the upstream oil and gas sector.  CLG Energy considers both traditional senior-secured structures as well as one-off, structured secured loans at the project or corporate level and will consider loans ranging from $20M to $500M.

For additional information, please contact Jonathan Shepko at 972-464-2704 or [email protected] or Owen Hill at 972-464-2705 or [email protected].

SOURCE CLG Energy Finance, LLC