MANILA, Philippines—Australian firm Nido Petroleum Ltd. has raised A$19.88 million to help fund the planned drilling of two exploration wells at the oil- and gas-rich Gindara and Aboabo prospects in offshore Palawan.
In a regulatory filing, Nido Petroleum said it successfully completed the placement of 159 million ordinary fully paid shares to investors at A$0.125 each to raise the amount. Merrill Lynch International (Australia) Ltd. and Patersons Securities Ltd. acted as joint lead managers for the placement.
“Proceeds from the placement are intended to be used to secure Nido’s future exploration program, including the drilling of the Gindara and Aboabo prospects, for general working capital and partial debt reduction,” the company explained.
The drilling of an exploration well at the Gindara prospect, which was estimated to contain as much as a billion barrels of oil, is expected to cost up to $24 million. Nido Petroleum targets to start the drilling between March and May 2011.
Covered by Service Contract 54B, the Gindara prospect alone is deemed to be comparable in scale to the nearby Malampaya field, which is operated by Shell Philippines Exploration BV.
No comments:
Post a Comment