Aurora Oil & Gas Limited plans to commence, subject to market and other customary conditions, a private offering of US$200 million in aggregate principal amount of senior unsecured notes due in 2017.

The notes will be issued by a wholly owned subsidiary of Aurora as senior unsecured obligations of the issuer, and will be guaranteed by Aurora and each of the subsidiaries of the issuer. Aurora intends to use net proceeds from the proposed note offering to fund capital expenditures for development of its holdings in the Eagle Ford shale trend (together with other sources of liquidity) and for other general corporate purposes, including financing potential future acquisitions of oil and natural gas interests in its core areas.

The senior notes to be offered will not be registered under the U.S. Securities Act of 1933, as amended (the "U.S. Securities Act"), and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements. The senior notes are being offered only to qualified institutional buyers in the United States in accordance with Rule 144A under the U.S. Securities Act and to certain non-U.S. persons outside the United States in compliance with Regulation S under the Securities Act. In Canada, the notes will be offered and sold on a private placement basis in certain provinces of Canada to certain accredited investors.

Tags: Aurora Oil & Gas Corporation