Investment in Hemisphere Energy Corporation

RNS Number : 0504D

Mosman Oil and Gas Limited

01 July 2016

 

1 July 2016

Mosman Oil and Gas Limited

("Mosman" or the "Company")

Investment in Hemisphere Energy Corporation (TSX.V HME),

Mosman Oil and Gas (AIM: MSMN), the New Zealand and Australia focused oil exploration and development company announces that it has made a CAD$380,000 (AUD 394,000) cash investment in the TSX.V listed; Hemisphere Energy Corporation. (HME), subscribing for two million shares at a price of CAD 19 cents per share.

HME is an existing oil producer with assets in south east Alberta, USA, with average production in the first quarter of 2016 of approximately 508 boe/d. HME's closing price as at 30 June 2016 was CAD 22.5 cents.

The subscription is part of a larger 8 million share placing, with the funds to be used for drilling to further increase production. Following the transaction Mosman's holding in HME will equate to approximately 2.4% of the enlarged issued share capital.

Commenting on the investment, John W Barr, Chairman of Mosman said: "The investment in HME is strategic as the Company is expected to be rerated from the planned drilling and the potential lift in commodity prices."

About HME

Hemisphere Energy Corporation (TSX.V HME), HME is an existing oil producer with assets in south east Alberta, USA, with average production in the first quarter of 2016 of approximately 508 boe/d.

HME reported an audited net loss of CAD$8,310,831 for the year ended 31 December 2015 and audited net assets of CAD$22,712,832 as at 31 December 2015.

Further information can be found on HME's website which can be found at http://www.hemispherenergy.ca

Enquiries

Mosman Oil & Gas Limited John W Barr, Executive Chairman Andy Carroll, Technical Director [e-mail] [e-mail]	NOMAD and Broker SP Angel Corporate Finance LLP Stuart Gledhill / Richard Hail [phone]
Gable Communications Limited Justine James /  John Bick [phone] [e-mail]

Updates on the Company's activities are regularly posted on its website

www.mosmanoilandgas.com

About Mosman

Mosman (AIM: MSMN) is an Australia and New Zealand focused oil exploration and development company with a strategy to build a sustainable mid-tier oil and gas business by acquisition and organic growth. Current exploration projects include the following permits which are 100% owned;

Petroleum Creek Permit, New Zealand

The permit is a 143 sq. km project located near Greymouth on the South Island in the southern extension of the proven Taranaki oil system.

Taramakau Permit, New Zealand

The permit (990 sq. km onshore) surrounds the Petroleum Creek Permit and shares similar geological characteristics and shares similar prospective play types. 

Murchison Permit, New Zealand

The permit (517 sq. km onshore) located approximately 100 kilometres north of Petroleum Creek has a 13 TCF contingent resource identified.

Amadeus Basin Projects, Australia

Mosman owns two granted permits and one application in Central Australia which total of 5,458 sq. km. The Amadeus Basin is considered one of the most prospective onshore areas in the Northern Territory of Australia for both conventional and unconventional oil and gas, and hosts the producing Mereenie, Palm Valley and Surprise fields.

 

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