The placements were made at 2.5 cents per share for cash (17,000,000 shares), for shares in listed companies (10,400,000 shares) and on account of consulting services (2,600,000 shares).

Sunvest Corporation Limited, a securities investment company, has acquired 16 million of these shares through private placement.

The 16 million shares were sold at 2.5 cents per share, with Sunvest to pay $400,000 to Longreach.

Company secretary Bruce Burrell said Sunvest had satisfied the $400,000 payment with a $200,000 cash payment and the issue of 200,000 shares in Sunvest to Longreach at the deemed issue price of $1 per Sunvest share.

“Sunvest now holds a total of 22,170,000 shares in Longreach following the placement, representing 10.4% of the enlarged capital of Longreach,” he said.

The placements were made according to the approval to place securities granted by shareholders at the general meeting and according to the extension of that approval granted by the Australian Stock Exchange.

The previously announced appendix 3B application for quotation of the above shares and the share placements will be lodged shortly.