Empire Petroleum's Rights Offering Fully Subscribed, Raises $2.5 Million

Empire Petroleum's rights offering was fully subscribed, securing $2.5 million in gross proceeds. Chairman Phil E. Mulacek fully participated and exercised over-subscription rights. Warrants issued could potentially generate an additional $2.5 million. The company will allocate units on a pro-rata basis among oversubscribers.

Empire Petroleum Corporation (NYSE American: EP) has successfully completed its rights offering, securing $2.5 million in gross proceeds. The subscription period for the offering, which was extended to accommodate stockholder participation, expired at 5:00 p.m. Eastern Time on August 20, 2025 [1].

The offering was fully subscribed, with more than 100% of the securities available being taken up. Stockholders will receive their basic subscription privilege, but due to oversubscriptions, remaining shares and warrants will be allocated pro-rata among oversubscribing stockholders, after eliminating all fractional shares and warrants [1].

Chairman Phil E. Mulacek, a significant shareholder of the company, fully participated in the rights offering and exercised his over-subscription rights to purchase his pro-rata share of the underlying securities that remained unsubscribed [1].

The rights offering generated approximately $2.5 million in gross proceeds, with the potential to yield an additional $2.5 million from the future exercise of the warrants issued as part of the offering [1]. Each unit in the rights offering was issued at a subscription price of $0.07367 per unit, with each unit consisting of 0.0139 shares of common stock at $5.30 per whole share, along with a warrant exercisable for 0.0136 shares of common stock at $5.46 per whole share [1].

The warrants issued in the offering will expire on November 18, 2025, 90 days after the expiration of the rights offering [1]. The rights offering is more fully described in the prospectus supplement filed with the Securities and Exchange Commission (SEC) on July 10, 2025, and subsequent supplements on July 24, 2025, July 25, 2025, and August 19, 2025 [1].

Empire Petroleum Corporation is a publicly traded, Tulsa-based oil and gas company with current producing assets in New Mexico, North Dakota, Montana, Texas, and Louisiana. Management is focused on organic growth and targeted acquisitions of proved developed assets with synergies with its existing portfolio of wells [2].

References:
[1] https://www.morningstar.com/news/business-wire/20250821221526/empire-petroleum-announces-full-subscription-of-rights-offering
[2] https://www.stocktitan.net/news/EP/empire-petroleum-announces-extension-of-previously-announced-rights-m4x66ve9wcqf.html