Australis raises cash for US drilling
PERTH (miningweekly.com) – ASX-listed Australis Oil & Gas will raise A$39-million through a share placement to start drilling at its Tuscaloosa Marine Shale (TMS) project, in the US.
The company on Thursday said that it had received commitments from institutional and sophisticated investors for the placement of 115.28-million new shares, at an issue price of 34c each, to raise more than A$39-million.
The issue price represented a 5.6% discount to Australis’ last closing price on March 16.
“We are appreciative of the very strong support from our existing institutional holders, many of whom have loyally backed our strategy over the past three years,” said Australis chairperson Jon Stewart.
“We continue to execute our business strategy and this capital raising significantly strengthens our balance sheet, which in turn will aid our efforts to secure third party debt funding on better terms.”
Stewart said that the company also continued to evaluate various debt financing alternatives to supplement these equity funds.
“This new funding provides the initial capital to commence our TMS drilling campaign. Our aim is to repeat the 2014 productivity results achieved within the core of the TMS, with the application of the subsequent industry wide drilling and completion learnings.”
Australis holds over 95 000 net acres in the oil rich TMS core, making it the largest producer and acreage holder in that region. Australis operates 31 producing wells generating positive cash flow.
Comments
The
content
you are trying to access is only available to subscribers.
If you are already a subscriber, you can Login Here.
If you are not a subscriber, you can subscribe now, by selecting one of the below options.
For more information or assistance, please contact us at subscriptions@creamermedia.co.za.
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation