2 February 2024
Mosman Oil and Gas
Limited
("Mosman"
or the "Company")
Placing to raise
£300,000
Mosman Oil and Gas Limited (AIM:
MSMN) the hydrocarbon, helium and hydrogen exploration,
development, and production company, announces that it has today
raised £300,000 (before expenses) by way of a placing of
2,400,000,000 ordinary shares (the "Placing").
The proceeds will be used largely
for working capital including certain expected costs to develop
Mosman's two 100% owned helium and hydrogen exploration projects in
the Amadeus Basin in the Northern Territory of Australia, EP 145
and EPA 155 ahead of farmout Completion. Mosman remains responsible
for continuing costs for EP 145, which will be subsequently
re-imbursed upon Completion of the Farmin Agreement.
Summary of Australian Exploration projects
EP 145 Funding by Farmin
Agreement
Mosman has published a Prospective
Resources estimate of 440 bcf total gas including 26 bcf of helium
and 26 bcf hydrogen.
Mosman Oil and Gas has signed a
farmin agreement with Greenvale Gold Pty Ltd ("Greenvale") a wholly
owned subsidiary of Greenvale Energy Ltd to fund seismic and
drilling on its EP 145 project in the Northern Territory of
Australia.
Completion of the Farmin Agreement
announced in October 2023 is subject to government approval of the
proposed change of Operator and transfer of interest. The farminee,
a subsidiary of Greenvale Energy Limited (ASX:GRV), has advised
that they have received the Stamp Duty assessment and paid the
amount due. The next step is Ministerial approval, which is
expected to proceed now that stamp duty has been paid. The Company
is not in control of the timing of Ministerial approval, but based
on progress so far anticipates Completion to occur in the near
future. The amended agreement clarifies that Mosman is responsible
for costs until Completion, when Mosman will be re-imbursed for
costs and paid $160,000.
The seismic acquisition programme is
planned for the first half of 2024, with results due and a well
location announced before end of Permit Year 3 in August 2024,
followed by drilling in the following Permit Year.
EP(A)155 Mount Winter
Located in the Northern Amadeus Basin between
the producing Surprise Oil Field and Mereenie Oil and Gas Field has
significant prospectivity for helium, natural hydrogen and
hydrocarbons.
EP(A)155 lies within the highly prospective
Horn Valley Siltstone fairway with proven hydrocarbon potential as
demonstrated by historical wells, Mt Winter-1 & 1A. Exploration
data comprises a 2D seismic grid and 2 wells.
Mt Winter-1 was drilled to a depth of 2650m
reaching TD in the Proterozoic Gillen Fm, above the helium and
hydrogen prospective targets. Hydrocarbons were encountered in 2
intervals, the Ordovician Stairway Sandstone (reservoir at Surprise
Field) and Proterozoic Jonny's Creek Beds (reservoir at Ooaramina
discovery, northeastern Amadeus Basin). The well was drilled off
structure due to the limited seismic data available, and
re-interpretation of the available data suggests valid targets at
multiple depths down to and including basement.
EP(A)155 is an exploration permit
application, subject to successful land access negotiation with
Traditional Owners prior to grant of the permit. Mosman entered
into a farmout agreement with Westmarket Oil and Gas Pty Ltd, a
wholly owned subsidiary of Georgina Energy ("Georgina").
Georgina is responsible for the Native Title negotiations as
required for grant of the permit. Georgina will also
undertake the initial technical work program which includes
acquisition of seismic data to earn a 75% working interest and
operatorship of the permit. On drilling an exploration well
Georgina may earn a further 15% working interest by carrying
Mosman through the cost of the well.
Details of the Placing
The Company has raised £300,000
(before expenses) by way of a placing of 2,400,000,000 new ordinary
shares of no-par value in the capital of the Company ("Placing
Shares") at a placing price of 0.0125p per share (the "Placing
Price"). CMC Markets UK Plc trading as CMC
CapX acted as the Company's sole placing agent in respect of the
Placing.
Warrants
1,200,000,000 warrants have been
granted by the Company on the basis of 1 warrant for every 2
Placing Shares, with an exercise price of 0.025p and two-year
expiry, issued to the Placees.
Additionally, 144,000,000 broker
warrants have been granted to CMC Markets UK Plc trading as CMC
CapX, exercisable at the Placing Price and with a two-year
expiry.
Admission to AIM and Total Voting Rights
The Placing is conditional on, inter
alia, the Placing Shares being admitted to trading on AIM.
Application has been made to the London Stock Exchange for the
Placing Shares, which will rank pari passu with the Company's
existing issued ordinary shares, to be admitted to trading on AIM
and dealings are expected to commence at 8:00 a.m. on or about 8
February 2024.
Following the issue of the Placing
Shares, the Company's share and total voting rights will comprise
12,211,047,141 Ordinary Shares of no par value and the Company does
not hold any shares in treasury.
Consequently, the above figure may
be used by shareholders in the Company as the denominator for the
calculations by which they will determine if they are required to
notify their interest in, or a change to their interest in, the
share capital of the Company in accordance with the Companies'
Articles.
Market Abuse Regulation (MAR) Disclosure
The information contained within
this announcement is deemed by the Company to constitute inside
information as stipulated under the Market Abuse Regulations (EU)
No. 596/2014 ('MAR') which has been incorporated into UK law by the
European Union (Withdrawal) Act 2018. Upon the publication of this
announcement via Regulatory Information Service ('RIS'), this
information is now considered to be in the public
domain.
Enquiries:
Mosman Oil & Gas Limited
Andy Carroll
CEO
acarroll@mosmanoilandgas.com
|
NOMAD and Joint Broker
SP Angel Corporate Finance
LLP
Stuart Gledhill / Richard Hail /
Adam Cowl
+44 (0) 20 3470 0470
|
Alma
Justine James / Will
Merison
+44 (0) 20 3405 0205
+44 (0) 7525 324431
mosman@almastrategic.com
|
Joint Broker
CMC Markets UK Plc
Douglas Crippen
+44 (0) 020 3003 8632
|
Updates on the Company's activities
are regularly posted on its website: www.mosmanoilandgas.com
Notes to editors
Mosman (AIM: MSMN) is a hydrocarbon,
helium and hydrogen exploration, development, and production
company with projects in the US and Australia. Mosman's strategic
objectives remain consistent: to identify opportunities which will
provide operating cash flow and have development upside, in
conjunction with progressing exploration of existing exploration
permits. The Company has several projects in the US, in addition to
exploration projects in the Amadeus Basin in Central
Australia.