Dual-listed L&M Energy has announced an offer to
shareholders which could raise up to $2.85 million.
In July the company completed a $8.5 million capital-raising
from institutional and sophisticated investors.
The subsequent offer to existing shareholders was mooted by
LME chairman Geoff Loudon several weeks ago, and was
announced yesterday.
The shares are on offer at NZ9c to a maximum $15,000 worth
per shareholder, which would amount to $2.85 million if all
1900 shareholders took up the maximum offer, brokers at
Craigs Investment Partners said.
The $8.5 million raised earlier will be used to boost coal
seam gas exploration in the South, and LME plans to have a $2
million pilot production project operational in Ohai by
September to measure gas flows.
After a cashless merger in February with private sister
company Coal Seam Gas, LME now has 12 permits covering almost
13,000sq km for coal bed methane gas exploration, in Otago,
Southland, the West Coast, Taranaki and the Waikato.
Its Ohai and Waiau permits in Southland, 70km northwest of
Invercargill, are for the most promising areas of exploration
and are estimated to contain 173 petajoules of energy.
Bookmark/Search this post with:
A name, residential address, and (preferably residential) telephone number is required from readers who comment on ODT Online. These details will not be visible to site visitors.