Quicksilver Gas (KGS) Prices 4M Common Unit Offering at $21.10/Unit

Quicksilver Gas Services LP (NYSE: KGS) announced today that it has priced an offering of 4 million common units representing limited partner interests at $21.10 per common unit. The company also granted the underwriters a 30-day option to purchase up to 600,000 additional common units representing limited partner interests. The company initially expects to use the net proceeds from this offering to repay outstanding borrowings under its revolving credit facility. The company subsequently intends to re-borrow approximately $87.1 million under this facility in order to fund the acquisition of Alliance midstream gathering and treating assets, located in the northern portion of the Fort Worth Basin, from Quicksilver Resources Inc. The offering is scheduled to close on December 16, 2009.

Wells Fargo Securities, BofA Merrill Lynch, Citi, UBS Investment Bank and Barclays Capital are acting as joint book-running managers, Goldman, Sachs & Co. is acting as senior co-manager and Capital One Southcoast, Comerica Securities, BBVA Securities and Ladenburg Thalmann & Co. Inc. are acting as co-managers.