Liquefied Natural Gas Limited informed it has placed 40 million fully paid ordinary shares in the capital of the company, which has raised A$174 million before costs.
The proceeds of the placement will be used towards:
- Commencement of an early works program at the proposed 8 mtpa Magnolia LNG project;
- Bear Head LNG’s pipeline infrastructure development work and front‐end engineering design;
- Potentially, the acquisition and development of a third LNG project in North America; and
- General corporate purposes.
The Managing Director of LNG Limited, Maurice Brand, said “the capital raised will materially help us to progress the Magnolia LNG and Bear Head LNG projects under development in North America.
Brand added that the company has also been investigating other potential opportunities where it can leverage its mid‐scale LNG strategy and OSMR technology into a third North American project.
Settlement of the placement is scheduled for 26 May and the placement shares are expected to be issued on 27 May.
Foster Stockbroking acted as sole lead manager to the placement and was supported by the company’s US advisor, New York-based EAS Advisors, acting through Merriman Capital.
Image: LNG Limited