Energy Companies

We’ve long written about, and have been fans of, a small driller by the name of Rex Energy. Rex has its headquarters in State College, PA and concentrates on just the Marcellus and Utica Shale region. Over the past year as prices have gone down for natural gas, Rex has sold off various subsidiaries and non-core holdings. The company now concentrates on drilling in just three counties–one in OH and two in PA (see Rex Energy to Sell Acreage in OH & PA, Focus on 3 Counties). Rex has had its financial struggles. In fact, in February it landed on David Fessler’s “Oil Company Death List,” an indication Rex’s debts may overwhelm its revenues (see 19 Oil/Gas Companies on “Death List” – 8 are in Marcellus/Utica). But Rex has soldiered on, trimming and cutting back. Yesterday we told you Rex announced a new addition to the board of directors (see Unusual Move: Rex Energy Adds Analyst to its Board of Directors). Seems like a good fit. But we asked the question, is something more at work here than just adding a new expert to the team? We have no proof of a connection, but not long ago a private investment hedge fund run by Zac Hirzel–Hirzel Capital Management–filed a Form 13G with the Securities and Exchange Commission to declare the fund has purchased nearly 5 million shares of Rex–or 9% of all outstanding shares…
Read More “Hedge Fund Buys ~5 Million Shares of Rex Energy – 9% of Stock”

Rex Energy has a new member on its board of directors–Jack N. Aydin. We don’t typically report on new additions to boards of directors, but this one is unique and different. Normally board members (of exploration and production companies) have experience working for other E&Ps. Or board positions are awarded to major stockholders–sometimes referred to as “activist investors” (what used to be called corporate raiders). Jack Aydin is the only person we’ve heard of that has made the transition from E&P analyst to the board room…
Read More “Unusual Move: Rex Energy Adds Analyst to its Board of Directors”

Rex Energy is a small but determined driller headquartered in State College, PA totally focused on the Marcellus and Utica Shale. We like to call Rex “the little energy company that can and does” when it comes to profitably tapping northeast shale. As we told you a few weeks ago, Rex is, like all drillers, facing some stiff challenges right now (see Rex Energy 1Q15: Production Up 61%, Revenue Down 33%, Gulf Coast Deal). Even though revenues are down for the company, Rex’s CFO Thomas Rajan still believes in the company. He just bought another 10,000 shares of stock himself for $5.45 per share ($54,500.00). That puts Rajan’s personal holdings of Rex stock at 190,000 shares, worth over $1 million. It’s good to see Rex’s upper management eating their own dog food…
Read More “Rex Energy CFO Buys Another 10K Shares of Rex Stock”