September 3, 2009 (FinancialWire) — Cubic Energy, Inc. (NYSE AMEX: QBC) has received an extension of time until October 1, 2009 from Wells Fargo Energy Capital, Inc. to comply with the terms of that letter dated June 30, 2009. That June 30, 2009 letter previously informed that the Lender made a borrowing base redetermination and waived any failure of to comply with its obligations under the Credit Agreement as a result of such redetermination until September 1, 2009.

In addition, the company announced the closing of an equity offering in which certain investors (the “Investors) paid aggregate consideration of approximately $1,788,400 to for 2,104,001 shares of the company’s common stock [$0.85 per share] and received warrants exercisable into 1,052,000 shares of common stock. The warrants are exercisable through July 31, 2014, at an exercise price of $0.85 per share.

Calvin Wallen III, president and CEO of the company, explains, “It is believed that these positive developments are the first steps in moving to the next level.”

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