MEO signs deal with Asian Energy to raise $10m
Monday, November 19 2012 - 01:18 AM WIB
ASX-listed MEO Australia Limited said that it has executed a private placement agreement with Asian Energy Limited, a company managed by Noonday Asset Management Asia Pte Ltd (Noonday), to raise $10 million, to provide working capital to fund the production testing of Gurame-1XST1 gas discovery in the Seruways PSC, offshore North Sumatra.
Under the agreement, MEO will issue Asian Energy Limited 40,816,327 shares at an issue price of $0.245 cents per share.
Noonday, is a Singapore-based investment advisor that serves as an exclusive sub-advisor to Farallon Capital Management, a San Francisco-based global fund manager.
The Seruway PSC (MEO 100%) contains the Gurame and Kuala Langsa gas discoveries together with a host of additional targets along the Ibu Horst which MEO considers to be prospective for gas and also liquids. Collectively, these discovered and prospective resources have the potential to underpin a significant gas development in a region with strong unsatisfied demand for gas.
MEO?s CEO and MD J?rgen Hendrich commented on the announcement: ?We are delighted to welcome Noonday as a cornerstone investor and substantial shareholder. Having a large, highly respected financial institution such as Noonday on the register, provides investment support and funding options for MEO as the company pursues a portolio of projects in Northern Australia, Thailand and Indonesia. Noonday?s investment expertise within the Asian energy sector, particularly in Indonesia, is a key strategic element that will become increasingly important as we seek to mature our projects towards development.?
Editing by Reiner Simanjuntak