PERTH (miningweekly.com) – ASX-listed Strike Energy has raised A$6.7-million through a private placement to accelerate the production testing and pre-development of its Southern Cooper Basin gas project.
The placement consisted of 67-million fully paid ordinary shares, at a price of 10c each, issued in two tranches.
The first 65.3-million shares would be placed under the company’s existing capacity, with the second tranche of 1.7-million shares requiring shareholder approval.
Strike MD David Wrench said that the company was pleased with the support that the raising received, adding that it reflected Strike's unique position as one of the few companies with the capacity to develop a new major gas supply source for the eastern states gas market in the near term.
“This additional capital provides the company with the flexibility to quickly progress our production testing programme beyond threshold commercial gas flows towards the full productive potential of the resource.”