Funds raised from the placement will go towards drilling of the Wombat-3 well, located midway between Wombat-1 and 2, and has been scheduled to commence after the completion of Trifon-2, which is currently rigging up with drilling scheduled to commence on 21 July.

The company will re-enter Trifon-2 in PEP157 using non-invasive drilling mud, which was successfully used on Wombat-2. A full study of Trifon-1, 50m away, has already revealed eleven zones which Lakes believes will react positively to fracture stimulation.

Following the Wombat and Trifon programs North Seaspray-3 will be re-entered in the fourth quarter. Originally drilled in 2000 the well flowed gas to surface at 125,000 cubic feet per day.