MEO Australia raises US$1.69 million for Cuba exploration

MEO Australia Ltd has announced that it has accepted commitments to raise approximately US$1.69 million through a placement of approximately 46.9 million shares at US$0.036 per share to qualified institutional and sophisticated investors. A number of existing shareholders showed strong support for the Placement and the Company has welcomed a number of high quality new investors to its share register.

The Placement price of US$0.036 per share represents a ~17% discount to MEO’s volume weighted average price for the 10 business days up to and including 16 August 2016.

Proceeds from the Placement will be used to fast track MEO’s onshore exploration activities on Block 9 in Cuba.

The Placement will be completed in a single tranche for the maximum number of shares pursuant to the Company’s remaining capacity under ASX Listing Rule 7.1.

MEO Managing Director & CEO Peter Stickland, commented: "We are very pleased with the overwhelming support shown for the placement from both existing shareholders and new investors. The placement uses the maximum number of shares available through MEO’s remaining placement capacity under ASX Listing Rule 7.1. We are pleased to welcome a range of new high quality investors onto the MEO register and recognise the support of our existing shareholders. The Placement will enable MEO to accelerate the work necessary to finalise a drilling plan for up to two wells in Block 9, onshore Cuba.”

Edited from press release by Angharad Lock

Read the article online at: https://www.oilfieldtechnology.com/exploration/18082016/meo-australia-raises-us1-69-million-for-cuba-exploration-704/