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Sino raises A$53m to fund Chinese assets

Sino raises A$53m to fund Chinese assets

Photo by Bloomberg

27th November 2013

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

  

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PERTH (miningweekly.com) – ASX-listed Sino Gas & Energy would raise about A$53-million in a two-tranche placement to institutional and sophisticated investors.

Sino would place 265-million new ordinary shares, at an issue price of 20c each, with the funds raised used to progress the company’s forward programme of seismic surveys, drilling and development on its production-sharing contracts, and to provide working capital.

The first tranche would consist of about 189.6-million shares and would be issued under the company’s 15% placement capacity.

The second tranche, consisting of about 75.4-million shares, would be subject to shareholder approval.

“Sino Gas is delighted with the strong demand and support shown for the placement, both from new and existing institutional and sophisticated investors,” said MD and CEO Robert Bearden.

He noted that the company was in an exciting phase of development of its unconventional gas assets in China’s Ordos basin, and was focused on commercialising the assets and increasing shareholder value.

Edited by Creamer Media Reporter

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