TIDMMSMN
RNS Number : 2686E
Mosman Oil and Gas Limited
15 July 2016
15 July 2016
Mosman Oil and Gas Limited
("Mosman" or the "Company")
Investment and Operations Update
Mosman Oil and Gas Limited (AIM: MSMN) the New Zealand and
Australia focussed oil exploration and development company,
announces an update in respect to investments and current
operational activities. This update will be reflected in an updated
Corporate Presentation which will be published on the Company's
website next week.
Investments
Mosman invested CAD$400,000 (AUD 425,000) in the TSX.V listed
GEM International Resource Inc. (GEM) (announced 24 May 2016),
which consists of 8 million shares at CAD 5 cents and 8 million two
year CAD 15 cents non-transferrable options. Mosman notes that the
share price of GEM is currently CAD 14.5 cents.
The Chairman of Mosman met with the officers of GEM in Hong Kong
last month to discuss planning for exploration including bulk
mining sampling and other matters in respect to GEM. Initial
exploration will commence in July 2016 with planning and logistics
now underway.
Heavier equipment required for bulk sampling is expected onsite
in the September quarter.
GEM's website has recently been updated and can be found at:
http://gemdiamondmining.com
In addition, on 4 July 2016, Mosman announced it had subscribed
for two million shares in the TSX.V listed Hemisphere Energy
Corporation (TSX.V HME), at a cost of CAD 19 cents a share being
CAD$380,000 (AUD 0.394 M). HME is an existing oil producer with
assets in south east Alberta, Canada, with average production in
the first quarter 2016 of approximately 508 boe/d. Mosman notes
that the share price of HME is currently CAD 21 cents.
The subscription is part of a larger 4.5 million shares placing
by HME, which closed on 12 July 2016 raising CAD$1.9 million, with
the funds being used for drilling and development to further
increase production.
HME's website can be found at: www.hemisphereenergy.ca
Both investments are subject to a short four month escrow which
is usual in the TSX.V market. In addition to the investment cost,
approximately AUD 0.1 m has been incurred on due diligence, travel
and other costs in respect to the investments.
Other opportunities
In addition to its existing oil and gas projects Mosman
continues to seek other opportunities.
Current Projects
Mosman remains in a sound financial position with resources of
cash and market value of investments now total approximately AUD$
4.750 M. This cash is held in three currencies (GBP, AUD, and NZD)
and the number takes into account recent unrealised FOREX losses of
over AUD 0.250 M due to the volatility of the GBP.
Strategic and focussed exploration work continues on existing
permits.
On the Murchison Permit in New Zealand, the LIDAR survey was
completed on 10 July 2016. The next stage is to analyse and
interpret the data acquired and update the geological model, in
order that all the information available can be used to finalise
the location of the first well.
At Petroleum Creek and the Taramakau permit areas, Mosman
continues discussions with NZPAM regarding the work program. Mosman
is seeking to defer certain existing work obligations.
Mosman continues planning to plug and abandon the three wells
drilled on the Petroleum Creek permit in 2014. Activity may be
scheduled when other nearby wells are abandoned to minimise
costs.
In Australia, on the Amadeus Basin permits, an airborne survey
contract has been awarded for EP 156 at an estimated cost of
AUD$60,000. That survey is expected to occur in the quarter
commencing September 2016.
Discussions continue with the Central Land Council (CLC)
regarding application area EPA 155, with an on-site meeting
proposed in September 2016. This involves several parties including
the CLC, indigenous landholders and Mosman representatives with the
objective of negotiating access to the permit excluding sacred
sites.
In EP 145, CLC has granted access for an on-site geological
study later this year.
Shareholders Meeting
As announced in January 2016 Mosman has withdrawn from its
interest in the Officer Basin application. On 28 June 2016 Mosman
called a General Meeting for 2 August 2016 to consider the
cancellation of 9 million shares that were issued for the
acquisition.
This announcement contains inside information for the purposes
of Article 7 of EU Regulation 596/2014.
Enquiries
Mosman Oil & Gas Limited NOMAD and Broker
John W Barr, Executive Chairman SP Angel Corporate Finance LLP
Andy Carroll, Technical Director Stuart Gledhill / Richard Hail
jwbarr@mosmanoilandgas.com +44 (0) 20 3470 0470
acarroll@mosmanoilandgas.com
Gable Communications Limited
Justine James / John Bick
+44 (0) 20 7193 7463
mosman@gablecommunications.com
Updates on the Company's activities are regularly posted on its
website
www.mosmanoilandgas.com
About Mosman
Mosman (AIM: MSMN) is an Australia and New Zealand focused oil
exploration and development company with a strategy to build a
sustainable mid-tier oil and gas business by acquisition and
organic growth. Current exploration projects include the following
permits which are 100% owned;
Petroleum Creek Permit, New Zealand
The permit is a 143 sq. km project located near Greymouth on the
South Island in the southern extension of the proven Taranaki oil
system.
Taramakau Permit, New Zealand
The permit (990 sq. km onshore) surrounds the Petroleum Creek
Permit and shares similar geological characteristics and shares
similar prospective play types.
Murchison Permit, New Zealand
The permit (517 sq. km onshore) located approximately 100
kilometres north of Petroleum Creek has a 13 TCF contingent
resource identified.
Amadeus Basin Projects, Australia
Mosman owns two granted permits and one application in Central
Australia which total of 5,458 sq. km. The Amadeus Basin is
considered one of the most prospective onshore areas in the
Northern Territory of Australia for both conventional and
unconventional oil and gas, and hosts the producing Mereenie, Palm
Valley and Surprise fields.
This information is provided by RNS
The company news service from the London Stock Exchange
END
MSCGGUAAMUPQPPC
(END) Dow Jones Newswires
July 15, 2016 02:00 ET (06:00 GMT)
Mosman Oil And Gas (LSE:MSMN)
Historical Stock Chart
From Apr 2024 to May 2024
Mosman Oil And Gas (LSE:MSMN)
Historical Stock Chart
From May 2023 to May 2024