Eden Energy, established by Tasman Resources in 2004, has announced it will lodge its completed prospectus to the Australian Securities and Investment Commission later this month in preparation for its initial public offering, scheduled for May 2006.
The Eden prospectus will give Tasman shareholders registered at the close of business on April 7 a general priority in respect of shares to be issued pursuant to the Eden prospectus.
After listing, Tasman will hold 32.98 million shares representing 25.29% of the issued shares in Eden, and 32.55 million options representing another 35.75% of the issued options in the alternative energy company.
Eden plans to raise $10 million through the issue of 50 million shares at 20c each in support of a range of developments in Australia and overseas.
Eden will issue one share option for every two shares sold during the IPO, with options redeemable in September 2009 at the original listing price of 20c.
The diversified energy company holds several important interests, including 100% of Brehon Energy, which has acquired and is developing a wide range of hydrogen related technologies from its operational base in Colorado, USA [see related stories].
Eden has also held a 50% stake in coalbed methane licences covering 430 square kilometres in South Wales, in the United Kingdom, since 2004, reporting it has now done a significant amount of work digitising old coal mining records and preparing to drill several test holes in June 2006.
Using modelling of the Appalachian Trend in the United States, thought to have been adjacent to South Wales in the Jurassic period, Eden anticipate these leases also have the potential for a large natural gas deposit.
If the theory is correct, Eden will be well placed to capitalise on the UK’s energy crisis, which has already seen the price of natural gas double since 2004 levels, at which time it was already 150% that of Australia’s natural gas prices.
Eden has applied for a petroleum exploration licence over a large (1000sq.km) untested anticlinal structure in central South Australia, identified in a recent seismic survey as being a “drill ready target”, with the potential of harbouring another significant natural gas deposit.
If this deposit is realised, Eden anticipates a ready-made market for gas-fired energy from the deposit with BHPB’s giant Olympic Dam copper/gold/uranium mine, 60km south of the licence area.
Similarly, Eden holds eight prospective geothermal licences in South Australia, which already has a working investment/policy framework in place. The company says that at least two of these licences are near the power grid, making it possible for Eden to sell clean, renewable energy straight to the grid.
The company is also involved in a joint hydrogen production research project with the University of Queensland, partly funded by the Australian Research Council.
The research project aims to develop catalysts to enable low temperature, low cost production of hydrogen and carbon black – a commercial material used in a variety of products including ink cartridges – from natural gas.
Eden said each of these projects had the potential to develop into a major business and collectively provided an exciting portfolio of globally significant energy assets.
