31/05/2013 - 12:14

Sundance Energy secures $48m

31/05/2013 - 12:14


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Sundance Energy secures $48m

US-focused oil and gas junior Sundance Energy has raised $48.1 million through a share placement, to fund development of its shale gas and conventional oil acreage in Texas and Mississippi.

The placement, which was lead managed by Perth-based Euroz Securities and Cannaccord Genuity, was priced at 86 cents per share.

The placement was co-managed by Bell Potter Securities and RBS Morgans.

Sundance said it would also offer existing shareholders the opportunity to buy new stock, also at 86 cents per share, through a purchase plan capped at $15 million.

Managing director Eric McCrady said the capital raising signified an exciting time for the company's shareholders.

"The proceeds from this capital raising will allow us to accelerate our pace of activity, driven by the faster-than-expected drilling times in the highly economic Eagle Ford," Mr McCrady said.

"This acceleration will bring forward both production growth and reserve value."

At 11:45AM, WST, Sundance Energy shares were down 3.9 per cent, at 93.2 cents.


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