Shaw was recognised as ‘Explorer of the Year’ at last year’s Good Oil conference. But he resigned from Great Artesian in accordance with an agreement made in June 2006 as part of a $14.5 million share sale to Beach Petroleum. Beach, now Great Artesian’s largest shareholder, insisted that he leave the company on March 31.
Enterprise has agreed to enter into an employment contract under which Shaw will serve as executive chairman for three years.
Shaw seems keen to reshape Enterprise.
“It is too early to define forward plans, but there are some interesting ideas and opportunities which we will consider,” he said.
“I am confident that in the coming months, shareholders will see the new board make some very positive progress towards redefining Enterprise as a future significant player in the Australian oil and gas sector.”
Enterprise has also appointed Norm Zillman and Mark Elliott to its board.
Zillman was Queensland Gas Company’s founding managing director and Great Artesian’s founding chairman.
He was also a founding director of Planet Gas and is currently chairman of Energy Investments.
Elliott is a professional geologist and has 30 years experience in economic geology, exploration, project development and corporate management.
Enterprise will also undertake a capital raising of up to $1.3 million via private placement of ordinary shares with sophisticated investors at a price of 5c per share.
The company aims to place up to 15 million shares to raise up to $750,000 immediately with sophisticated investors at an issue price of 5c/share (compared with the five-day trade weighted average price of 4.5c) and raise a further 11 million shares to raise $550,000 also at 5c/share to be placed with incoming directors Shaw (10 million shares for $500,000) and Elliott (1 million shares for $50,000), subject to shareholder approval.
“Funds raised will provide additional working capital for current and new opportunities,” the company said.
Shareholders at a proposed general meeting will also be asked to approve as part of that employment contract, the allocation of a total of 9 million options for ordinary shares, 3 million at an exercise price of 8c, 3 million at 15c and 3 million at 20c, within 12, 12-24 and 24-36 months, respectively, from the date of Shaw’s appointment.
