Beach has increased its stake from 22 per cent to 94.75% in the Bodalla fields, which are located in the Cooper/Eromanga Basin.

The revenue stream has been backdated to and is effective from 1 October 2001. "The overall higher revenue contribution is backdated to October 1 so the effect on revenue flows is both immediate and a significant contributor to the first half result for 2001/2002."

Shareholders also approved the issue of 333 million fully paid ordinary shares at 4.5 cents each to institutions to raise $15 million and a share purchase plan for existing retail shareholders to raise a further $5 million.

The funds will be used primarily to acquire Oil Company of Australia's 72.75% interest in the Bodalla Block, amongst other interests in the region, for $16.5 million. Beach's daily oil production rises from 500 barrels to 1,900 barrels, which makes the company a medium size producer.

An 11-well oil and gas exploration program over the next seven months was outlined to shareholders by chief executive, Mr Reg Nelson. This includes Marabou-1 offshore Western Australia, three wells in the Otway Basin starting in December as well as the Cooper Basin drilling within weeks of Acrasia-1. It will be followed by four exploration wells, Sellicks-1, Maslins-1, Henley-1 and Semaphore-1. Two development wells are planned for the Bodalla Block.