Trans Energy Secures $18 Million Secured Revolving Credit Facility from CIT Begins 2007 Drilling Program
Published June 24th, 2007
Trans Energy, Inc. (OTC Pink Sheets: TENGE.OB) announced today that it has closed a financing agreement with CIT Energy, a unit of CIT Group Inc.
James K. Abcouwer, President and CEO of Trans Energy said, “We have been working to put the best possible financing structure for the company in place and believe we have done that with CIT. We have the operational team in place now to turn this new capital into producing oil and gas wells, exploiting the company’s attractive leasehold position”.
“We are pleased to provide Trans Energy with the financing it needs for its development drilling program,” said George McKean, Director of CIT Energy, a global provider of commercial and consumer finance solutions. “Our goal is to build long-term relationships through customized capital solutions that help our clients achieve their growth objectives. Reserve based lending is one of our core product offerings, and we look forward to working with Trans Energy on future developments.”
Trans Energy also announced that it has begun drilling the Lyons #7, the first of up to 35 wells the Company plans to drill in its 2007 drilling program. Trans Energy has contracted with Union Drilling Company for an RD-20 top-drive drilling rig for the balance of the year with an option to extend through 2008. The program will develop properties with proven reserves in Wetzel, Marion and Tyler Counties in West Virginia.
