Chairman Campbell Anderson said the funds raised would be used for working capital, reliability enhancements at the Stage 1 plant as well as future development work for Stage 2.

Mr Anderson said this rights issue is the first for the Brisbane-based company in 24 years and represents a good opportunity for shareholders as it coincides with some recent good news for the company.

These include its longest ever production run of 52 days, producing more than 120,000 barrels of oil; securing a major sales contract with Mobil Oil Australia for all of its ultra low sulphur naphtha as well as receiving a positive report from energy consultants Purvin & Gertz about the oil shale project.