Oz State Gas Completes Share Placement Programme

Sydney-listed State Gas has completed a share placement programme to raise approximately A$1mn (US$0.68mn), it said in a statement published December 11. The issue price of the new shares is A$0.65/share.

The placement will result in the issue of about 1.5mn new fully paid ordinary shares in the company. The funds raised from the placement will be used to fully assess the outcomes of its current drilling and testing campaign and plan the pilot programme to be undertaken in 2020, as well as to meet costs of the issue, State Gas said.

Earlier this week, the company announced the spudding of the Serocold-1 well at its Reid’s Dome gas project in Queensland. The testing and drilling information being acquired during the 2019 field programme at Reid’s Dome is providing essential information for State Gas to design the pilot project for 2020 in order to optimise gas production and reserve upgrades in line with the company’s 'Target 2021 Gas-to-Market' strategy, State Gas said.