Update Re: Proposed MEO Takeover Bid

RNS Number : 4716C
Mosman Oil and Gas Limited
19 January 2015
 



19 January 2015

Mosman Oil and Gas Limited

 

Update on takeover bid for

MEO Australia Limited

 

The Directors of Mosman Oil and Gas Limited ("Mosman" or the "Company") (AIM: MSMN), the New Zealand and Australia focussed oil exploration and development company is pleased to update shareholders in respect of the takeover of MEO Australia Limited ("MEO") (the "Proposal").

 

Variation of the Proposal

 

Mosman has improved the terms of the Proposal by increasing the consideration payable to the MEO shareholders pursuant to the Proposal from 1 Mosman Share for every 20 MEO Shares to 1 Mosman Share for every 10 MEO Shares.

 

Further, having regard to MEO's ASX Announcement dated 22 December 2014 in respect to the termination of the merger implementation agreement between MEO and Neon Energy Limited, Condition 5 (of the Neon Scheme) is deleted.  The Proposal will no longer be subject to Condition 5 (of the Neon Scheme).

 

Bidder's Statement

 

The Bidder's Statement in respect to the revised Proposal will be sent to MEO by 27 January 2015 and subsequently despatched to MEO shareholders by 10 February 2015.

 

The Board of MEO further advised its shareholders that it will consider its opinion on the Mosman Proposal in light of the termination of the Neon Scheme.  MEO Shareholders were advised to take no action until they receive the MEO Directors' formal recommendation.

 

John W Barr, Executive Chairman of Mosman commented: "This is a good opportunity for shareholders of both Mosman and MEO. The combined entity can fund exploration, preserve longer term assets and progress to production and cash flow."

 

Enquiries:

 

Mosman Oil & Gas Limited

John W Barr, Executive Chairman

Andy Carroll, Technical Director

jwbarr@mosmanoilandgas.com

acarroll@mosmanoilandgas.com

 

SI Capital Limited

Nick Emerson/Andy Thacker

+44 (0) 1483 413500

Gable Communications

John Bick

+44 (0) 20 7193 7463

mosman@gablecommunications.com

 

ZAI Corporate Finance Limited

Tom Price/John Simpson

+44 (0) 20 7060 2220

 

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.

 

Currently, Mosman has a total of ten permits or accepted permit applications in New Zealand and Australia.

 

Petroleum Creek Project, New Zealand

Mosman owns 100% of permit PEP 38526, the Petroleum Creek Project, which is a 143 sq. km low cost onshore exploration project located near Greymouth on the South Island in the southern extension of the proven Taranaki oil system.

 

Taramakau, Murchison and East Coast Permits, New Zealand

These permits were granted to Mosman on 9 December 2014 as part of the 2014 Block Offer, a sixteen-fold increase in the exploration area in NZ from 143 sq. km to 2,317 sq. km.

 

Officer Basin Project, Australia (Application)

Mosman has a 25% investment in the Officer Basin Project, a 22,527 sq. km large land holding with significant exploration potential, which lies in one of the more explored parts of the Basin with road access. The project area is in the Western Australian part of the Officer Basin and offers both conventional and unconventional potential with hydrocarbon shows reported and all elements of a petroleum system are present.

 

Amadeus Basin Projects, Australia

Mosman owns 100% of two granted permits and one application in the Amadeus Basin 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.

 

Otway Basin Project, Australia

Mosman owns 30% of VIC/P62 in the Otway Basin. The permit was recently renewed and is in relatively shallow water. The 70% permit holder funded a 3D seismic survey in 2013. The results of the 3D seismic survey are now being integrated in to a geological model to allow identification and ranking of drilling targets. Within the Otway Basin there is commercial production both onshore and offshore.

 


This information is provided by RNS
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