Oil and Gas Corporate News
Madagascar Oil (LON:MOIL) (MOIL, Suspended) is pleased to announce that the dispute with the Government of Madagascar in connection with the Tsimiroro Block has now been resolved; trading in Madagascar Oil's shares to resume on 27 June 2011. The Company also provided an operational update; the highlights are: the 2011-2012 work programme and budget have been approved; Significant operational progress was made in 2010, including 18 successful wells out of 24 new wells drilled and the completion of 430km of Electrical Resitivity Tomography; Activity for the installation of the Tsimiroro steam flood pilot facility will be ramped up immediately to progress to a start date expected in Q3 2012; and Netherland, Sewell & Associates Inc. is currently revising the 965 million barrels Contingent Original Oil-in-Place estimate to take into account the updated data acquired in 2010. The updated report is expected in July 2011.
Dominion Petroleum (LON:DPL) (DPL, 5.0p, ? 2.9%) announced its intention to raise approximately US$55 million by way of the issue and sale of new and existing Consolidated Shares (respectively, the Subscription Shares and the Sale Shares) (the "Placing Shares") in the Company (the "Placing"), with both new and existing institutional investors. Immediately prior to the issue and sale of the Placing Shares, it is proposed that the issued and unissued 0.00004 common shares of the Company be consolidated on a 20 for 1 basis into common shares of a nominal value of US$0.0008. The shares to be issued and sold pursuant to the Placing will therefore be Consolidated Shares. Approximately US$18.0 million of the proceeds of the Placing of the Subscription Shares will be used to repurchase and then cancel all the senior secured convertible notes held by the Selling Noteholders and to repay any additional amounts owed to them under the note purchase agreement. The Company also announced that it has entered into an Execution Agreement to acquire a 75% operated working interest in the production sharing contract for Blocks 4, 5, 6 and 7 of Area 4 Offshore Malta from Phoenicia Energy Company Limited ("PEL"), a wholly owned subsidiary of Mediterranean Oil & Gas plc ("MOG"). Dominion will pay a deposit of US$225,000, which is refundable in the event that Maltese government approvals are not received.
Mining Corporate News
