May 15, 2009 (FinancialWire) — GMX Resources Inc. (NASDAQ: GMXR) has announced public offering of five million shares of its common stock at $12.00 per share and expects the issuance and delivery of the shares to occur on May 19, 2009.

The company has also granted the underwriters a 30-day option to purchase a maximum of 750,000 additional shares of its common stock. The company intends to use the net proceeds from the offering to repay a portion of the outstanding indebtedness under its revolving bank credit facility.

Up to 150,000 of the shares offered for sale in the offering to which this communication relates are being reserved for sale, at the price initially offered to the public, to officers and employees of the company as well as other persons having relationships with the company.

Merrill Lynch & Co. is acting as sole book-running manager for the offering.

In other news, GMX recently announced the completion of the Verhalen “A” 2H Haynesville / Bossier horizontal well having a 4,198 foot lateral and 14 fracture treatment stages and an initial 24 hour production rate of 8.5 million cubic feet per day (MMcfd) of gas, on a 14/64 choke and 4164 pounds of flowing casing pressure (FCP) into the sales line. The first five Haynesville / Bossier wells have an average IP of greater than 8.3 MMcfd.

In addition to the first five wells, the company has drilled Blocker Ware 19H with a 4,446 foot lateral and has completed 9 of 12 fracture treatments, thus far. The company has also successfully drilled and set casing on the Blocker Heirs 12H with a 4,934 foot lateral and TJT Simpson 1H with a 4,606 foot lateral. Scheduled completion for each of these two H/B Hz wells will follow the Blocker Ware 19H with 12 fracture treatment stages planned for each well. These wells are all expected to begin producing in Q2 2009.

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