The company will remain suspended for a period while it satisfies the Australian Stock Exchange of its compliance with the listing rules for a listed oil and gas company, Aurora managing director Jon Stewart told EnergyReview.net.

"We estimate that process will take two to three weeks but this timetable is ultimately driven by the authorities," Stewart said.

"As part of our listing requirements it is necessary for the company to raise a minimum of about $500,000 of additional capital. We now have approval from the shareholders to issue up to an additional 12.5 million shares and we hope to lodge a prospectus with ASIC tomorrow dealing with a capital raise."

Theshares will be issued on a consolidated basis of 5 to 1, and the comapny intends to raise up to $4 million before costs at a price of $0.32 per share.

These funds will be applied to the development program at Flour Bluff and towards new opportunities the company may identify.

At Flour Bluff, additional pay zones have been discovered in the deeper K sands and the joint venture has decided to proceed to set five-inch liner from 3,740 metres back to the seven-inch casing at 3,255 metres.

"Evaluation has defined four separate zones over a gross interval of 113 metres with a total of 26.8 metres of net gas pay," Stewart said.

"Revised potential reserves will be available when further evaluation is completed but this result has the potential to add significant reserves."