Central Petroleum raises $31m

South Perth-based explorer Central Petroleum has raised $31 million through a rights issue and placement which will fund a hydrocarbon exploration program in prospective basins in the middle of Australia.

The company had planned to raise $26 million through the rights issue, however high demand attracted applications in excess of $36 million.

As a result, Central Petroleum said it elected to soak up some of the excess demand by using its 15 per cent placement capacity under ASX rules to raise a further $5 million.

Patersons Securities acted as lead manager for the rights issue and placement.

Central Petroleum said proceeds will be used for an exploration program in the Pedrika and Amadeus basins, which are close to the South Australia-Northern Territory border.