20th Nov 2015 09:09
LONDON (Alliance News) - Mosman Oil and Gas Ltd on Friday said it is making progress on its acquisition in New Zealand, defended its financial position following shares sales made by recent investors in its fundraising, and said it will appoint a chief operating officer.
The New Zealand and Australia-focused oil and gas explorer said it has continued to make progress on completing the acquisition of the South Taranaki Energy Project and is only awaiting government approvals for the deal. It expects a decision on the deal to be reached in early 2016.
Mosman also said it had not expected the share sales which followed the recent GBP1.5 million fundraising it carried out in the US. It said the sales by US investors had impacted its share price negatively and said this was an "unsatisfactory outcome". It said the reasons for the sellers having sold the shares was not known.
The company said it had noted the communications received from shareholders about the issue and understands the concerns which have been raised about the impact the sales had on Mosman's share price. However, it said, the company is now in a fundamentally stronger financial position following the fundraising.
Mosman also said it intends to appoint a chief operating officer who will support the strategic growth of the business. During the company's recent time in New York, presenting to investors ahead of the fundraising, it said it had identified a candidate and anticipates an appointment will be made in the first quarter of 2016.
Shares in Mosman were up 2.1% to 3.57p on Friday.
By Sam Unsted; [email protected]; @SamUAtAlliance
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