PetroQuest Energy Receives Continued Listing Standard Notice From NYSE
April 17 2018 - 4:01PM
PetroQuest Energy, Inc. (the “Company”) (NYSE:PQ) announced that it
received notice from NYSE Regulation that it is not in compliance
with the continued listing standards set forth in Section 802.01C
of the Listed Company Manual of the New York Stock Exchange, Inc.
(the “NYSE”) because the average closing price of the Company’s
common stock was less than $1.00 over the 30 day-trading period
ending on April 9, 2018. As required by the NYSE, the Company
will notify the NYSE within ten business days of its intent to cure
the deficiency and return to compliance with the NYSE continued
listing requirements.
The Company can avoid delisting if, during the
six month period following receipt of the NYSE notice, on the last
trading-day of any calendar month, the Company’s common stock has a
closing share price of at least $1.00 and an average closing share
price of at least $1.00 over the 30 trading-day period ending on
the last trading-day of that month. Under the NYSE rules, the
Company’s common stock will continue to be listed on the NYSE
during this six month period, subject to the Company’s compliance
with other continued listing requirements.
In addition, the Company’s market capitalization
recently fell below $15 million. If the Company’s average
market capitalization for 30 trading days is less than $15 million,
the NYSE will immediately suspend the trading of the Company’s
common stock and initiate delisting procedures.
If the Company’s common stock ultimately were to
be delisted for any reason, it could negatively impact the Company
by (i) reducing the liquidity and market price of the Company’s
common stock; (ii) reducing the number of investors willing to hold
or acquire the Company’s common stock, which could negatively
impact the Company’s ability to raise equity financing; (iii)
limiting the Company’s ability to use a registration statement to
offer and sell freely tradable securities, thereby preventing the
Company from accessing the public capital markets; and
(iv) impairing the Company’s ability to provide equity
incentives to its employees.
About the CompanyPetroQuest
Energy, Inc. is an independent energy company engaged in the
exploration, development, acquisition and production of oil and
natural gas reserves in Texas and Louisiana. PetroQuest’s
common stock trades on the New York Stock Exchange under the ticker
PQ.
Forward-Looking StatementsThis news release
contains “forward-looking statements” within the meaning of Section
27A of the Securities Act of 1933, as amended, and Section 21E of
the Securities Exchange Act of 1934, as amended. All statements
other than statements of historical fact included in this news
release are forward-looking statements. Although the Company
believes that the expectations reflected in these forward-looking
statements are reasonable, these statements are based upon
assumptions and anticipated results that are subject to numerous
uncertainties and risks. Actual results may vary significantly from
those anticipated due to many factors, including the volatility of
oil and natural gas prices and significantly depressed oil prices
since the end of 2014; our indebtedness and the significant amount
of cash required to service our indebtedness; our estimate of the
sufficiency of our existing capital sources, including availability
under our new multi-draw term loan facility; our ability to post
additional collateral to satisfy our offshore decommissioning
obligations; our ability to execute our 2017 drilling and
recompletion program as planned and to increase our production; our
ability to hedge future production to reduce our exposure to price
volatility in the current commodity pricing market; our ability to
find, develop and produce oil and natural gas reserves that are
economically recoverable and to replace reserves and sustain and/or
increase production; ceiling test write-downs resulting, and that
could result in the future, from lower oil and natural gas prices;
our ability to raise additional capital to fund cash requirements
for future operations; limits on our growth and our ability to
finance our operations, fund our capital needs and respond to
changing conditions imposed by our multi-draw term loan facility
and restrictive debt covenants; more than 50% of our production
being exposed to the additional risk of severe weather, including
hurricanes, tropical storms and flooding, and natural disasters;
losses and liabilities from uninsured or underinsured drilling and
operating activities; changes in laws and governmental regulations
as they relate to our operations; the operating hazards attendant
to the oil and gas business; the volatility of our stock price; and
our ability to meet the continued listing standards of the New York
Stock Exchange with respect to our common stock or to cure any
deficiency with respect thereto. In particular, careful
consideration should be given to cautionary statements made in the
various reports the Company has filed with the SEC. The Company
undertakes no duty to update or revise these forward-looking
statements.
For further information, contact: Matt Quantz,
Manager - Corporate Communications(337) 232-7028,
www.petroquest.com