Aviva to raise $21m in placement

South Perth-based energy company Aviva Corporation Ltd will raise $21 million through a placement of 30 million shares at 70 cents each for feasibility studies on coal projects in Western Australia and Botswana.

The full text of a comapny announcement is pasted below

The Directors of the Company are pleased to advise agreement to place thirty million (30,000,000) fully paid ordinary shares at seventy cents ($0.70) per share. The issue has been made to existing and new institutional shareholders in the Company and to Australian and international institutional and sophisticated investors introduced by Euroz Securities Limited.

Proceeds from the issue will be $21 million before issue costs and will be utilised to progress feasibility work on the Central West Coal Project and the Mmamantswe Project in Botswana. Funds raised will also provide additional working capital for new project generation. The Company will have working capital of approximately $23 million
following completion of the placement.

Approval for the issue will be put to shareholders at the Company's AGM to be held on 16th November 2007. Following approval, the securities to be issued will rank pari passu in all respects with existing quoted shares of the Company.