22nd Sep 2015 07:13
LONDON (Alliance News) - Mosman Oil and Gas Ltd said Tuesday it has raised GBP1.5 million in a placing of 33.3 million shares at 4.5 pence per share, which it said will allow it to progress its proposed acquisition of a 70% interest in the South Taranaki Energy Project assets in New Zealand.
Shares in Mosman were down 16% at 5.12 pence Tuesday morning.
It will combine the proceeds with the NZD4 million royalty funding - equivalent to GBP1.7 million - it secured in September, and the 5% deposit it has paid. The total consideration for 100% of the assets is NZD10 million - equivalent to GBP4.2 million - which it will pay in two tranches.
"We are delighted with the ongoing support from shareholders and I would like to take this opportunity to welcome a number of new shareholders to our share register. With their backing we have been able to reach a major milestone in being able to fund a 70% interest in the STEP assets, a producing and cash flow generating project with significant upside potential. We are excited about this fantastic acquisition and the future prospects it offers Mosman," said Chairman John Barr in a statement.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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