Business
Planned drilling, operational update & fundraising
Planned drilling, operational update & fundraising.
About this update from Quantum Helium Limited
[{"type":"text","content":"\n \nRNS Number : 8984G Mosman Oil and Gas Limited 09 November 2018 \n\n9 November 2018\n \nMosman Oil and Gas Limited\n(\"Mosman\" or the \"Company\")\n \n \nPlanned drilling, operational update and fundraising\n \nMosman Oil and Gas Limited (AIM: MSMN) the oil exploration, development and production company, is pleased to announce it plans to continue the rapid development on its US projects by proposing up to five new wells, all located onshore in Texas, USA in 2018/19. \n \nThe five wells proposed are: Stanley-2, Stanley-3, Stanley-4, Champion-1 and Challenger-1.\n \nThe Stanley-2 development well is already funded, and the other Stanley development wells are now funded, and will be drilled under the lease operating agreement, where one drilling operation can be proposed and completed at a time, so this is likely to be one well every two months. The final drilling timetable is dependent on the operator decisions, and logistical matters which are not entirely in Mosman's control at this time.\n \nThe first well (Stanley-2) is targeting the Yuega sands identified in the logs when drilling the Stanley-1 well is expected to commence drilling in late November and the results are expected in mid December. \n \nThe Champion and Challeneger proposed wells still require funding, and several alternatives are being considered. \n \nAll these wells will be drilled as part of the Strategic Alliance with Baja Oil and Gas LLC (\"Baja\"), and will be supported by Baja's interpretation of 3D seismic data, integrated with existing sub-surface well control, and legacy production information, similar to the successful Stanley-1 well which is now on production.\n \nThese wells are expected to increase Mosman's production and thus revenues, and therefore a decision to increase the proposed drilling has been made by the Board. The decision is fundamental to Mosman's medium term objective of becoming profitable at a corporate level.\n \nDetails of the Fundraising and Proposed Subscription of £500,000\n \nTo fund the drilling, the Company has raised £390,000 (before expenses) by way of a placing of 141,818,182 new ordinary shares of no par value in the capital of the Company (\"Fundraising or Placing Shares\") at 0.275p per share plus a 1 for 2 warrant exercisable at...