Cue Energy told the ASX and NZX this morning that - following last November’s AGM authorization of placement of up to 100 million additional ordinary shares - it was pleased to announce the 60 million placement.
“The monies raised will be utilised to fund the recently announced acquisition of an interest in the Maari oil field in New Zealand, project developments and augment working capital,” Cue told the exchanges.
Late last week Cue asked the ASX and NZX for a trading halt of up to 48 hours in order to process the share issue.
Earlier this month Cue said it had paid about A$6.2 million for a 5% stake in licence PEP 38413 previously held through Delta Oilfield Developments, which was operated through Carpenter Pacific and Westgold.
Cue said that equated to about A$2.48 per barrel for a 5% share of Maari’s estimated 50 million barrels of P50 recoverable oil.
A development decision on the project is expected in April and first oil could be flowing in the second quarter of 2007. Operator OMV holds a 69% stake in Maari, NZ's Todd Energy has 6% and ASX-listed company Horizon Oil has 10%.
