Sign up Australia
Proactive Investors - Run By Investors For Investors

Comet Ridge boosts coffers for gas exploration by raising $17.4 million in placement

Proceeds will be used to further advance Comet Ridge’s portfolio of east coast gas prospects.
Gas infrastructure
New institutional investors are major participants in the placement

Comet Ridge Ltd (ASX:COI) has boosted its balance sheet for gas exploration after raising $17.4 million in a placement underpinned by new Australian institutional cornerstone investors.

The placement at an issue price of 34 cents per share received cornerstone interest from a small number of new substantial Australian equities fund managers.

It was also strongly supported by existing institutional shareholders.


Managing director Tor McCaul said, “We would like to welcome the new institutional investors onto our register, who were the major participants in this placement.

“We believe their investment is a strong endorsement of Comet Ridge’s high-quality asset portfolio and the significant growth aspirations of the business.”

Proceeds will be used to further advance Comet Ridge’s east coast gas portfolio and for working capital purposes.

These projects have the potential to feature prominently as short to mid-term supply solutions for a tight gas market with significant demand requirements.

READ: Comet Ridge adds time on Mahalo final investment decision

“Having support from these reputable institutions will be fundamental in the medium term evolution of the company as it pursues its strategy of bringing material gas volumes into the east coast market, as quickly as possible, from low-cost onshore assets,” McCaul said.

Work program

The company’s work program which will utilise the funds along with existing cash includes:

- Mahalo project – drilling and testing of the Mahalo Joint Venture approved 2018 work program, comprising five new production wells;

- Mahalo project - environmental and other studies to support a petroleum lease and pipeline licence application;

- Galilee sandstone project – a drilling and testing program in conjunction with joint venture partner, Vintage Energy, comprising completion of Albany 1, drilling of Albany 2, and a seismic acquisition program;

- Gas portfolio exploration, appraisal and development work, including Galilee hydraulic fracture stimulation as required, and progressing FID at Mahalo; and

- General corporate expenditure and working capital purposes.

51.2 million shares to be issued

Comet Ridge will issue approximately 51.2 million placement shares within its current placement capacity, representing 7.6% of its current issued capital.

Settlement of the placement is expected to occur on Thursday, September 20, 2018, with placement shares expected to be allotted and to commence trading on the ASX on Friday, September 21, 2018.

The new shares will rank equally with the company’s existing fully paid ordinary shares.

Taylor Collison was lead manager of the placement and Integra Advisory Partners acted as Comet’s corporate advisor.

View full COI profile View Profile

Comet Ridge Ltd Timeline

November 08 2017
June 01 2017

Related Articles

oil and gas operations
July 09 2018
Greka highlighted improved revenues which boosted gross profit despite the challenges experienced in India and China through 2017.
October 12 2018
Efforts in future will be directed toward the Chennai power plant and OPG’s growing solar capacity
oil and gas operations
July 24 2018
Prospect S offshore Namibia is Chariot's next shot at a big target, drilling is slated for the fourth quarter this year and it will be closely watched by investors

No investment advice

The information on this Site is of a general nature only. It does not take your specific needs or circumstances into consideration, so you should look at your own financial position, objectives and requirements and seek financial advice before making any financial decisions. You acknowledge and understand that neither the Company, its related bodies corporate, the information providers or their affiliates will advise you personally about the nature, potential value or suitability of any particular security, portfolio of securities, transaction, investment strategy, or other matter. You should read our FSG and any other relevant disclosure documents and if necessary seek persona advice prior to making any investment decision.

You understand and agree that no Content (as defined below) published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is suitable or advisable for any specific person.

You understand that in certain circumstances the Company, its related bodies corporate, the information providers or their affiliates may have received, or be entitled to receive, financial or other consideration in connection with promoting, and providing information about, certain entities on the Site and in communications otherwise provided to you.

You understand that price and other data is supplied by sources believed to be reliable, that the calculations herein are made using such data, and that neither such data nor such calculations are guaranteed by these sources, the Company, the information providers or any other person or entity, and may not be complete or accurate. From time to time, reference may be made in our marketing materials to prior articles and opinions we have published. These references may be selective, may reference only a portion of an article or recommendation, and are likely not to be current. As markets change continuously, previously published information and data may not be current and should not be relied upon.

Before you act on any general advice we provide, please consider whether it is appropriate for your personal circumstances.

© Proactive Investors 2018

Proactive Investors Australia PTY LTD ACN:132787654 ABN:19132787654.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use