GOG is also set to soon become a gas producer, with sales and pipeline contracts for its Smegsy find being finalised. In addition, its partner in an upcoming drilling program, Rawson Resources, finished raising A$4 million this week, satisfying the contractual farm-in requirements with Great Artesian Oil & Gas (GOG) and Beach Petroleum for Rawson to farmin to the western portion of PEL 107, 30km from the Kiana discovery.
Mosaic Oil also had a strong week, its second in a row after a long run of being out of favour with investors, closing at MOS closed at 25 cents yesterday, up 13.6% for the week and 31.6% for the last month.
MOS posted a record annual revenue of $16.89 million for 2004/05 and said it planned to increase oil and gas production from its existing wells.
The figure was 125% higher than the previous corresponding period’s revenue. Mosaic also announced record levels of gas, oil/condensate and liquefied petroleum gas production.
Another junior, Energy Energy, closed at 10 cents yesterday, up 25% for the week, but still down 13% for the month.
ETE annonced earlier in the week it had successfully completed a recent capital raising and convertible note issue, placing it in a much stronger position to move forward.
The company now has cash of some A$849,000 plus US$33,000. The company plans to call a meeting of shareholders to seek approval for the issue of 20,000,000 ordinary shares at a minimum issue price of 80% of the average market price for shares calculated over the last five days on which sales in the securities were recorded before the day on which the issue was made.
Entek and sister company Lion Energy have struggled since news emerged that executive chairman, CEO and director Joe Mercorella was facing court action over allegedly running a managed investment scheme illegally. Mercorella has not yet had his day in court, but he no longer an office holder with these companies and both firms have had their boards restructured and have moved their offices from Adelaide to Perth.
