NuEnergy, NCE sign second share subscription agreement
Tuesday, September 16 2014 - 02:05 PM WIB
ASX-lised NuEnergy Gas Limited announced on Tuesday the signing of a second Share Subscription Agreement (SSA) with New Century Energy Resources Limited (NCE) and its nominee, Globaltec Energy Resources Sdn Bhd (GER) (formerly known as JCM Auto Components Sdn Bhd), on Sept. 15, 2014.
The SSA shall implement the second stage of funding under the Amended and Restated Investment Agreement with NCE dated July 10, 2014, as amended Aug. 18, 2014, for the placement of shares to NCE or its nominee and includes the following:
- Subscription by NCE for 166,666,667 NuEnergy shares at A$0.03 per share for A$5,000,000.01;
- Subscription by GER for 166,666,666 NuEnergy s hares at A$0.03 per share for A$4,999,999.98;and
- Allotment of shares to NCE and GER within 2 business days after NuEnergy and Globaltec Formation.
Berhad, a public company listed on the Main Market of Bursa Malaysia Securities, have obtained all shareholder approvals at their respective General Meetings and other regulatory approvals required to issue the Subscription Shares to NCE and GER.
The Second Share Placement shall raise A$10million.
Under the terms of the Agreement NCE has the right to appoint one additional director to the Board of NuEnergy on completion of the Second Share Placement. The company welcomes Dato?Sri Dr Goh Tian Chuan as Director of NuEnergy effective immediately following the date of completion of the Second Share Placement.
NCE has extensive experience in the Coal Bed Methane (CBM) exploration and production industry, including subsurface (geological, geophysical & reservoir), well drilling, completion and production techniques that can significantly enhance the productivity of CBM wells. NCE is 60 percent owned by Globaltec Formation Berhad, a public company listed on the Bursa Malaysia main market.
NuEnergy first signed in July the investment agreement with NCE to recapitalize the development of its three CBM production sharing contracts in Indonesia including the Muara Enim PSC, Muara Enim II PSC (in South Sumatra), and Rengat PSC (Central Sumatra).
Editing by Johannes Simbolon